Answer / praisty

The main criterion for classifying fixed assets according to
legal and management requirements.

For each asset class, control parameters and default values
can be defined for depreciation calculation and other master
data.

Each asset master record must be assigned to one asset class.

Special asset classes are, for example:

Assets under construction
Low-value assets
Leased assets
Financial assets
Technical assets
Depreciation Area - the area which shows the valuation of
fixed asset for particular purpose.

Answer / sandhya

Every Asset in sap is known as an Asset Class.eg) Land is
known as an Asset class.Each Asset Class is identified using
an Asset Determination Number. These asset determination
numbers are system defined.Except for 1100 and 3100
(Buildings and vehicles) which are user defined.

Depreciation Area = Depreciation method + depreciation key

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