Support Spotlight: How to Reconcile Fixed Assets Account Balance with Fixed Assets Net Book Value

If you are working with the SAP Business One Fixed Assets solution and you do not know how to verify whether the Net Book Value (NBV) in the Fixed Assets module matches with relevant account balances, this article will help you.

In SAP Business One, the accounts to be used in Fixed Assets postings are determined by the Account Determination assigned in the Asset Class. The assets belonging to the same asset class will use the same set of accounts.

In SAP Business One, the ‘Posting of Depreciation’ setting (Indirect or Direct) for the Depreciation Area with type ‘Posting to GL’ determines whether the accumulated depreciation account will be used in the Depreciation Run postings. Accordingly, it will determine the way to reconcile the account balance with the NBV.

Indirect

If you choose indirect posting of depreciation, the accumulated depreciation account will be used to record the depreciation value in the depreciation run. And the NBV must be calculated with the balance for Asset Balance Sheet account and Accumulated Depreciation Account.

Direct

If you choose direct posting of depreciation, the accumulated depreciation account will not be used and you can reconcile the balance for Asset Balance Sheet account with the Net Book Value directly.

Note 

• Please select the correct Balance Sheet Account/Depreciation Area/Asset Class when running the Assets History Sheet.
• Please makes sure you have selected the same period when running the Assets History Sheet and when filtering the posting in the Account Balance Window.

Source：https://www.linkedin.com/pulse/support-spotlight-how-reconcile-fixed-assets-account-balance-kennedy/