Impact of IFRS on Asset accounting in new Implementation of ECC 6.0

[Former Member]

Hi,

We are to implement SAP ECC 6 for a new customer and would like to know what are the prerequsites and steps to be followed to implement Asset accounting so that it adhers to IFRS.

Also what would be the impact of it on the leading ledger in the new GL.

Can some one throw some light on this.

Please let me know if any more information is required

Thanks in Advance

Regards

Hari

[Former Member · Accepted solution]

1. Decide which ledger is leading ledger. You need to consider the parallel reporting period as well as IFRS reporting periods.

2. Create Leading Ledgers, Non leading ledgers and Ledger Groups.

3. Create Depeciation areas for Book Deprteciation considering the step 1. If you see IFRS as leading ledger then 01 Book depreciation area as IFRS area.

4. Create depreciation area for other GAAP.

5. Create Derived Depreciation area using the Parallel vakuation wizard.

6. Make settings such that all areas other than book depreciation posts periodically.

7. Assign ledgers to teh depreictaion areas/

8.Assign Deprecition keys for all the areas.

9. Post Asset

10. RUN AFABN and then ASKBN.

The crux is on deciding what is your leading ledger and where to post the values of the assets based on your requirements.

[Former Member]

Hi

Thanks for the inputs...

We have decided to go with IFRS as the leading ledger and US GAAP and other local GAAPS as non leading ledgers

Hari

[viswanatha_reddy]

Hi,

Read Below Link for clear understanding.

http://www.sap.com/indonesia/about/events/worldtour10/pdf/CFOofficeTrack/03_IFRSImplementation-Prepa...

http://wiki.sdn.sap.com/wiki/pages/viewpage.action?pageId=137954255

Regards

Viswa

[Former Member]

Hi

Apart from the above steps suggested,

Please create Some GL accounts related to IFRS and GAAP adjustment.

Therefore what happens if there is a requirement where the user needs to post the adjustment entry they can use those GL account.

After the above steps, Create two Financial Statement Version in OB58. one with all your normal GL account and IFRS adjustment related GL accounts and another with the normal GL account and GAAP adjustment related GL accounts.

So when the user executes the Trail balance they can take Trail balance both at IFRS and GAAP level

Regards

Paul