SAP Financial Accounting (SAP FI) Practice Exam

Which of the following is NOT needed by depreciation areas to start the depreciation program?

1. Depreciation key

2. Useful life

3. Start date

4. End date

The correct answer is: End date

The determination that the end date is not needed by depreciation areas to start the depreciation program is rooted in how depreciation functions within SAP Financial Accounting. For a depreciation calculation to commence, certain essential parameters must be established, including the depreciation key, useful life, and start date. The depreciation key defines the method and schedule of how the asset's value will be depreciated over time. This key is crucial as it guides the system on the calculation approach. The useful life specifies the duration over which the asset is expected to provide economic benefit, allowing for accurate allocation of the asset's cost. The start date indicates when the asset's depreciation is supposed to begin, which is vital for scheduling the calculations accurately. Conversely, an end date is not required upfront to initiate the depreciation process; it may come into play later when assessing the asset’s total useful life and determining when it will be fully depreciated. This aspect highlights the flexibility in asset management within SAP, as assets can be kept on the record until they are disposed of or their useful life is completely utilized, regardless of whether an end date was set initially. Thus, while the other parameters are fundamental to launching the depreciation program, the end date is not necessary at the outset.