When you create an equipment master record in SAP, it is possible to automatically create an Asset master record (C) linked to that piece of equipment. This integration allows for seamless asset management, enabling financial tracking and depreciation calculations for the equipment as a fixed asset within the organization's asset accounting processes.
A Functional Location (A) represents the place where an equipment is installed and is not automatically created from an equipment master but rather associated with it.
A Material (B) record represents items that can be procured, stored, and sold and is not automatically created from an equipment master.
A Maintenance BOM (Bill of Materials) (D) details the components that make up a piece of equipment or assembly but must be created separately and then associated with the equipment.