EA-FIN: Lease Accounting (FI-LA)

Lease Accounting (FI-AA) is a part of the Financials Extension (EA-FIN) business function.

Technical Data

Technical name of the business function	EA-FIN
Type of business function	Enterprise Extension
Documentation based on release	SAP ERP 6.0
SAP software component	EA-APPL
SAP application component	FI-LA, FI-AA-LM
Business Intelligence content	Not relevant
Additional content available in other SAP applications	Not relevant
Business function requiring activation in addition	Not relevant

Use

Lease Accounting covers all of the accounting aspects you need for handling your leasing business and mapping all of its transactions in the system. These transactions include all postings necessary for asset accounting, postings of contract-related accruals and deferrals in the general ledger, as well as one-time postings that arise during the term of a lease. Using the lease (contract object) as the starting point, the system automatically makes all postings in Asset Accounting and General Ledger Accounting .

Integration

Lease Accounting is controlled by the Lease Accounting Engine (LAE) . The LAE determines the values from leases in SAP CRM in order to make the necessary postings in SAP ERP. Lease Accounting benefits from the strong integration of SAP CRM and Financial Accounting. The Financial Accounting side of this integration is comprised of the Lease Accounting Engine , the Accrual Engine , one-time postings, and Asset Accounting .

The Lease Accounting Engine triggers postings in the Accrual Engine, in Asset Accounting, or directly in the general ledger.

After extracting contract-related information, you can use all of the functions of SAP Business Intelligence (BI) for your reporting needs.

Lease Accounting is part of the Financials business process in the Leasing Operations (SAP Leasing Management) business scenario, available in your SAP Solution Manager system.

Prerequisites

The Enterprise Extension EA-FIN just enhances functions. The existing functions and interfaces remain unchanged. The existing process logic also remains unchanged; new logic is merely added.

Note Note

Activating this switch can make it necessary to execute mass activities, but only in the case of a data migration from a non-SAP system.

End of the note.

You can also activate some functions of FI-LA separately in Customizing.

Features

Lease Accounting contains the following subfunctions:

Basic functions of Lease Accounting with reporting
Customizing of Lease Accounting
Processing of leases with errors
Accrual/deferral postings (Accrual Engine)
Displaying and postprocessing of leases
Management and monitoring of fixed assets (Asset Accounting)
Interest calculation methods (financial mathematics of Lease Accounting)
Financing classification, such as defining classification groups
One-time postings