Goods Movements on Assets 

Use

You can assign valuated or nonvaluated material movements to assets.

·        Nonvaluated goods receipt

There is no offsetting posting to GR/IR. Invoicing for a nonvaluated goods receipt takes place directly between the assets and the vendor accounts without involving the GR/IR journal.

·        Valuated goods receipt

The GR/IR account is posted and an offsetting posting is made to the asset account. The invoice for a valuated goods receipt is posted to GR/IR and the vendor account.

In accordance with the posting logic of Inventory Accounting, GR/IR clearing is periodic and the differences between the purchase order and the invoice are not yet settled at the time of the invoice receipt.

Integration

Delivery costs are posted based on MM Customizing.

Prerequisites

You have implemented Inventory Accounting.

To be able to post delivery costs to assets, you have defined them in the purchase order condition and in Customizing under Materials Management ® Purchasing ® Conditions ® Define Price Determination Process ® Define Condition Types you have made necessary settings for Accruals in accordance with the condition type.

-          If you select the Accruals checkbox, both the delivery costs from the goods receipt and the differences (against the delivery costs from the invoice receipt) are assigned to the asset.

-          If you do not set the Accruals checkbox, the delivery costs are not posted at the time of the goods receipt.

If you specify in Customizing that the reference date is the document or invoice date and multiple partial invoices with different posting and document dates are grouped into one settlement, depreciation values for the settled differences are calculated based on the posting date of GR/IR clearing.

·         In such cases we recommend using the goods receipt date.

·         To avoid inaccuracies, we recommend running GR/IR clearing at short intervals (several times a period).

Features

GR/IR clearing settles the differences for each purchase order item. For a purchase order item assigned to an asset, the differences are posted to the asset.

An asset can be posted to more than once.

It is possible that an asset cannot be posted to. In this case the system issues an error message.

We recommend using GR-based invoice verification.

If there is a partial retirement between the goods receipt and GR/IR clearing, depreciation values may be lost.

We therefore recommend either implementing organizational measures to ensure that no postings can be made to open assets, or running GR/IR clearing frequently (or at least directly before GR/IR clearing).

The following postings are possible:

·        Goods receipts for purchase orders that post to assets

·        Invoice receipts and credit memos for purchase orders that post to assets

·        GR/IR clearing for ordering processes that post to assets

·        Goods issues that post to assets

The following auxiliary account assignments are possible:

·        Cost center

·        Order (except manufacturing order)

·        WBS element

·        Real estate object

·        Funds center

·        Fund

·        Grant

·        Activity type

Reversals and Cancellations

When reversals are entered during the year of posting, the system clears the depreciation values automatically. With reversals for the prior year, the depreciation needs to be corrected with a manual writeup in advance.

Reversals with Reference

For a reversal with a reference, you enter the number and posting date of the original document you want to reverse.

If the reversal is for a goods receipt from the prior year, the reversal posting is made in Asset Accounting with the corresponding movement type (credit memo). If you need to make corrections to the depreciation values, you should first post the corrections manually in Asset Accounting by means of writeups.

Reversals/Return Deliveries Without Reference

If return deliveries or reversals of goods receipts are entered without a reference to the original document, the reference date is the posting date of the first goods receipt for the purchase order item.

If the posting date of the first goods receipt for the purchase order item is in the prior fiscal year, the posting of the return delivery or reversal uses the corresponding movement type (credit memo). If you need to make corrections to the depreciation values, you should first post the corrections manually in Asset Accounting by means of writeups.

Invoice Cancellations

If an invoice is canceled after GR/IR clearing, the differences must be posted back in the next GR/IR clearing run based on that invoice. The system always uses the difference amount that is identical to the original invoice and posts it to the asset as the adjustment posting. If depreciation values have been posted to the asset, the system adjusts them accordingly.

If the invoice receipt and the cancellation are in different fiscal years, the system cannot adjust the depreciation values automatically. In this case it is necessary to first adjust the depreciation values by means of manual writeups in Asset Accounting. For GR/IR clearing, the date of the original goods receipt must be used.

If the invoice receipt is not based on the goods receipt, the system always uses the posting date of the first goods receipt.

When invoice receipts that are not based on goods receipts are canceled, the system does not always use the same amount as in the original settlement. However, this has no effect on the process.

Substitution

When an asset cannot be posted to, the system rejects the GR/IR clearing of the differences. To be able to run GR/IR clearing such cases, you can define an alternative asset in Substitution.

Archiving

When particular assets are no longer used in the document (GR/IR and assets), you can archive them.