Dear Rajan
Thanks for the wonderful explanation you have offered. I do agree with you
one hundred percent. What I suggested was just a work around.....I do agree
that it should not come in the way of a business process which is above all.
Thanks for pointing it out. The clarity of thought in your posts is amazing.
Thanks for being a wonderful teacher.
Regards
VidhyaDhar
On Thu, Sep 30, 2010 at 9:30 PM, PSD Rajan via sap-acct <
sap-acct@groups.ittoolbox.com> wrote:
> Posted by PSD Rajan
> on Sep 30 at 12:00 PM Vidhyadhar,
>
> What you have recommended is a work around, which infringes on the business
>
> process relating to LVAs. Irrespective of the value involved, a penny or
> $5000, the nbv for both remain at zero. How would you distinguish between
> the true LVA and the asset that is maintained without any value? The
> requirement is not for a LVA, instead possibly an asset that has been taken
>
> over during acquisition that has no value and that does not appear in the
> asset list (since it was possibly retired a while back). Classic examples
> would be office equipments including laptops, or vehicles, lift trucks,
> tools, etc. You may want to track them since they are physically existing,
> even though without value. The moment it goes through the LVA route, it
> becomes an LVA, no matter what the value and you end up with a process that
>
> is compromised.
>
> The system should align with the business process need, totally. Wherever
> gaps in controls could come up, they need to be addressed effectively,
> else it will be like rolling out the red carpet for Murphy's famous law...
> I have mentioned in many of my earlier posts that technical feasibility
> does
> not necessarily mean compliance with a business process requirement. It is
> the controls around it that ensures the process remains pristine.... A work
>
> around is a shortcut and has limited local application. The process is not
> embedded in the work-around itself, instead in the mind of the person who
> implements it or uses it.
>
> You are doing a commendable job on this board and it is appreciated by all.
>
> Just keep the business process in perspective. Keep it up and Good luck!
>
> I am sure Roy would have a few words to add here.....
>
> Regards,
> Rajan.
> On Thu, Sep 30, 2010 at 8:14 AM, VidhyaDhar via sap-acct <
> sap-acct@groups.ittoolbox.com> wrote:
>
> >
> > Posted by VidhyaDhar (User-friendly SAP FI Consultant)
> > on Sep 30 at 10:13 AM Hi
> > Rajan
> >
> > In fact the very purpose of my suggesting accounting the asset as a low
> > value asset with lowest monetary unit is just in order to keep a trace of
>
> > the history, write off immediately the asset in full and deactivate it .
> > Thus the asset has a notional value ( which could be very minimal as
> > determined while posting the acquisition ) which ensures that the asset
> > history sheet correctly portrays all details of the said asset.
> >
> > Hope you agree with me.
> >
> > Regards
> >
> > VidhyaDhar
> >
> > On Thu, Sep 30, 2010 at 7:39 PM, geevidhyadhar . email@removedwrote:
> >
> > > Hi Rajan
> > >
> > > Thanks again and I learn something each day by reading your posts.
> > >
> > > Regards
> > >
> > > VidhyaDhar
> > >
> > >
> > > On Thu, Sep 30, 2010 at 7:26 PM, PSD Rajan via sap-acct <
> > > sap-acct@groups.ittoolbox.com> wrote:
> > >
> > >> Posted by PSD Rajan
> > >> on Sep 30 at 9:57 AM Even
> > >> if the acquisition value is the lowest monetary unit, it still is a
> > >> financial transaction albeit immaterial. Further, you would need to
> set
> > up
> > >>
> > >> controls to ensure that the value always remains the lowest amount,
> > which
> > >> is
> > >> not going to be easy.
> > >> Requirement being just to track quantity, simply create an asset
> master
> > >> record and input the quantity there. Now the control required is that
> > >> nobody should post values into the asset. How would you do that? By
> > >> ensuring that none of the depreciation areas is active for the asset.
> > For
> > >> this you would need to create a separate asset class where all the
> areas
> >
> > >> are
> > >> deactivated. Or you could block the asset from acquisition, but again,
>
> > >> this
> > >> could be reset by the user. When the asset is no more required, you
> > could
> > >> delete the asset, in which case you lose the history. You cannot
> > >> deactivate
> > >> an asset that has no apc transaction. Probably, you could figure a way
>
> > out
> > >>
> > >> here....
> > >>
> > >>
> > >>
> > >> On Thu, Sep 30, 2010 at 4:48 AM, VidhyaDhar via sap-acct <
> > >> sap-acct@groups.ittoolbox.com> wrote:
> > >>
> > >> > Posted by VidhyaDhar(User-friendly SAP FI Consultant)
> > >> > on Sep 30 at 6:47 AM Hi
> > >> >
> > >> >
> > >> > As Melissa says you can treat the asset as a low value asset using
> GWG
> >
> > >> as
> > >> > the depreciation key which writes off the asset 100% immediately
> upon
> > >> > acquisition. However please note that you need to furnish a value
> for
> > >> > acquisition ( it could be even as low as 1 monetary unit) and write
> it
> >
> > >> off
> > >> > in full immediately .
> > >> >
> > >> > Regards
> > >> >
> > >> > VidhyaDhar
> > >> >
> > >> > On Thu, Sep 30, 2010 at 12:48 PM, MellissaKok via sap-acct <
> > >> > sap-acct@groups.ittoolbox.com> wrote:
> > >> >
> > >> > > Posted by MellissaKok
> > >> > > on Sep 30 at 3:20 AM Guess
> > >> > > you can treat as low value asset.
> > >> > >
> > >> > >
> > >> > > Best Regards,
> > >> > > Mellissa Kok
> > >> > > +603-8995-6847
> > >> > >
> > >> > >
> > >> > >
> > >> > > 30/09/2010 14:26
> > >> > > "Mr_Her via sap-acct" <sap-acct@Groups.ITtoolbox.com<http://
> http://http://groups.ittoolbox.com////>
> > <http://
> > >> http://http://http://http://groups.ittoolbox.com////////////////>>
> > >> >
> > >> > >
> > >> > >
> > >> > >
> > >> > >
> > >> > > Please respond to
> > >> > > sap-acct@Groups.ITtoolbox.com <http://
> http://http://groups.ittoolbox.com////> <
> > http://http://http://http://http://groups.ittoolbox.com////////////////>
> > >> > >
> > >> > >
> > >> > > To
> > >> > > MellissaKok email@removed
> > >> > > cc
> > >> > >
> > >> > > Subject
> > >> > > [sap-acct] asset without value
> > >> > >
> > >> > >
> > >> > >
> > >> > >
> > >> > >
> > >> > >
> > >> > >
> > >> > >
> > >> > > Posted by Mr_Her (IT Support Manager)
> > >> > > on Sep 30 at 2:28 AM
> > >> > >
> > >> > >
> > >> > > Dear all,
> > >> > >
> > >> > > Is it possible to create an asset (in asset management) without
> > value.
> > >> I
> > >> > > mean that we just want to capture the quantity without value and
> > >> without
> > >> > > depreciation as well.
> > >> > >
> > >> > > Thks.
> > >> > >
> > >> > > Rgds,
> > >> > >
> > >> > > Heryanto
> > >> > >
> > >> > >
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