What is retroactive capitalization in SAP (SRD-FIN-FA - FIN-Fixed Assets)?

SAP Term: retroactive capitalization

• Component: SRD-FIN-FA

• Component Name: FIN-Fixed Assets

• Description: The ravaluation of a fixed asset for which the acquisition and production costs were set too low in the past.

Smart SAP Assistant

• Key Concepts: 
  Retroactive capitalization is a process in SAP Fixed Assets (SRD-FIN-FA) that allows for the capitalization of an asset after it has already been put into use. This process is used when an asset has been acquired and put into use before it was recorded in the company’s books. 
  
  How to Use It: 
  In order to retroactively capitalize an asset, the user must first enter the asset into the system. This can be done by entering the asset’s details into the Asset Master Data screen. Once this is done, the user must then enter a retroactive capitalization document in the system. This document will include all of the necessary information about the asset, such as its acquisition date, cost, and depreciation rate. Once this document is entered, the system will automatically calculate the depreciation of the asset from its acquisition date until its capitalization date. 
  
  Tips & Tricks: 
  When entering a retroactive capitalization document, it is important to make sure that all of the necessary information is included. This includes not only the acquisition date and cost of the asset, but also any additional costs associated with its acquisition or installation. Additionally, it is important to make sure that all of the depreciation rates are correctly entered in order to ensure accurate calculations. 
  
  Related Information: 
  Retroactive capitalization is just one of many processes available in SAP Fixed Assets (SRD-FIN-FA). Other processes include asset retirement, transfer, and sale. Additionally, there are various reports available in SAP Fixed Assets that can be used to track and analyze assets over time.