What is capitalization date in SAP SRD-FIN-FA - FIN-Fixed Assets?

SAP Term: capitalization date

• Component: SRD-FIN-FA

• Component Name: FIN-Fixed Assets

• Description: The date that the fixed asset was ready for use and placed in service. Normally the date from which depreciation is started.

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• Key Concepts: 
  Capitalization date is a term used in SAP Fixed Assets (SRD-FIN-FA) to refer to the date when an asset is first recorded in the company’s books. This date is used to determine the depreciation of the asset and is usually the same as the date of purchase. 
  
  How to use it: 
  In SAP Fixed Assets, the capitalization date is entered when creating a new asset. This date will be used to calculate the depreciation of the asset over its useful life. The capitalization date can also be changed at any time if needed. 
  
  Tips & Tricks: 
  It is important to ensure that the capitalization date is accurate, as this will affect the depreciation calculations for the asset. If the capitalization date is incorrect, it can lead to incorrect depreciation amounts being reported. 
  
  Related Information: 
  The capitalization date is closely related to other terms such as useful life and depreciation rate, which are also used in SAP Fixed Assets. It is important to understand how these terms interact with each other in order to accurately calculate depreciation for an asset.