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Answer Posted / venkat.sapfico
hi frds
The fixed assets are valued differently for different
purposes ( business , legal etc). SAP manages different
valuations by means of Depreciation Areas. There are
various depreciation areas like book depreciation , tax
depreciation, depreciation for cost accounting purposes etc.
A depreciation area decides how and for what purpose an
asset is evaluated. the depreciation area can be 'real' or a
'derived one' . You may need to use several depreciation
areas for a single asset depending upon the valuation and
reporting requirements.
thanking you
venkat
venkatanarayana.k@rediffmail.com
+91-9871905974
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