Asset Acquisition through Direct Capitalization

1. Asset Acquisition through Direct Capitalization SAP Best Practices

2. Purpose, Benefits, and Key Process Steps • Purpose • Purchasing asset investments that do not have an asset under construction phase(AuC) integrated with Materials Management. • Benefits • Asset Acquisition integrated with Materials Management and investment controlling. • Key Process Steps • Capitalize the asset directly in Asset Accounting.

3. Required SAP Applications and Company Roles • Required • Enhancement package 5 for SAP ERP 6.0 • Company Roles • Asset Accountant • Purchasing Manager • Purchaser • Warehouse Clerk • Accounts Payable Accountant

4. Detailed Process Description • Asset Acquisition through Direct Capitalization • The scenario enables you to track the budget of an asset acquisition that does not include an asset under construction phase. In addition, the acquisition is processed integrated with materials management. The asset is used as account assignment object; in order to track the budget an investment order is posted statistically in addition.

5. Process Flow Diagram Asset Acquisition through Direct Capitalization Event Capital Asset Needs to Be Purchased Unload Material from Trucks Incoming Vendor Invoice Asset Accountant Creating Investment Order Create budget for Investment Order Create Asset (155.02) Closing Investment Order Release Investment Order Purchaser Convert Purchase Requisition to Purchase Order Create Purchase Requisition Purch. Manag. Approval of Purchase Order Warehouse Clerk Post Goods Receipt Accounts Payable Accountant Accounts Payable (158) Invoice Receipt by line item

6. Diagram Connection Legend <Function> Hardcopy / Document External to SAP Financial Actuals Business Activity / Event Budget Planning Unit Process Manual Process Process Reference Existing Version / Data Sub-Process Reference Process Decision System Pass/Fail Decision