What is variable depreciation portion in SAP SRD-FIN-ACC - FIN-Financial Accounting?

SAP Term: variable depreciation portion

• Component: SRD-FIN-ACC

• Component Name: FIN-Financial Accounting

• Description: Used with the shift factor to measure depreciation for assets that are depreciated at above normal use levels.

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• Key Concepts: 
  Variable depreciation portion is a feature of SAP Financial Accounting (FI) that allows for the depreciation of an asset to be split into two or more parts. This allows for different depreciation rates to be applied to different parts of the asset, which can be useful for tax purposes or other financial considerations. 
  
  How to use it: 
  In order to use variable depreciation portion, the asset must first be created in SAP FI. Once the asset is created, the user can then assign a variable depreciation portion to it. This can be done by entering the desired percentage of the total depreciation amount that should be allocated to each part of the asset. 
  
  Tips & Tricks: 
  When setting up variable depreciation portion, it is important to ensure that the total percentage of depreciation allocated to each part of the asset adds up to 100%. This will ensure that the correct amount of depreciation is applied to each part of the asset. 
  
  Related Information: 
  Variable depreciation portion is closely related to other features in SAP FI such as accelerated depreciation and deferred depreciation. It is important to understand how these features work together in order to get the most out of variable depreciation portion.