SAP Message AC527 - Depreciation area &1 in ch.of dep. &2 is a derived area

Diagnosis
You specified area &V1& as the reference depreciation area fortransferring values or depreciation terms to another depreciation area.
Area &V1& is defined as a derived depreciation area. It does not manageits own values or depreciation terms. Therefore, it cannot be used tosupply values or depreciation terms to another depreciation area.

Procedure
Check your specifications and Customizing settings.