Asset retirement after depreciation run

[former_member1310440]

Hi,

I have one problum/doubt

i acquired the asst in January 1st, 2011 cost Rs.1000 at depreciation rate 10%

i performed the depreciation run till 5th period (May) (calculated Depreciation Rs. 41.66)

now i am trying to retire this asset in June 1st, 2011 at cost Rs. 900

after the transaction i find the entries like

Asset cost 1000

asset sale 900

loss 100

here my question is what about the calculated depreciation Rs. 41.66

please advice me

Thanks in Advance

Sreehari

[former_member193511 · Accepted solution]

Hi Sreehari,

The calculated depreciation 41.66 would be debited to accumulated depreciation account (balance sheet account), so loss should be 58.34 instead of 100.

Hope the above helps.

Kind regards,

John Chin

[former_member1310440 · Accepted solution]

Hi John Chin and Manna,

thanks for your reply, in my case i am not getting the correct loss

i am getting only 100 loss on sale of asset

is there any configuration settings ( i done all the related settings in AO90) ther than AO90

thanks,

Sreehari

[ajaycwa1981 · Accepted solution]

Hi

Check what Period Control you are using for Retirements Column in AFAMP and check its settings in OAVH for your Fiscal Yr Variant

Blank Entries in OAVH means deprecition would be Calculated from Start of the year for Acquisitions and disallowed from start of the year in case of retirements

br, Ajay M

[former_member1310440 · Accepted solution]

Hi Ajay thanks for your reply

we are using the period control 006 ( 01/06/06/06 ) and i checked the transaction OAVH here we are maintaining the fiscal year varient K4 hare fields are showing Year: Blank in gray colour, MO: 12, Dy: 31, Period: Blank and MidMonth: uncheck box

i not getting the depreciation calculatation at the time of retirement

my asset acquisition date is 1st January 2011 and ranthe depreciation to 2 periods in Asset explorer is showing the posted depreciaation also and then i had sold this asset in 1st March 2011.

i got the simulation like below

PK BusA Acct INR Amount

001 01 BAPR 0000500100 customer 140.000,00

002 50 BAPR 0000300100 Sale of Asset 140.000,00-

003 75 BAPR 0000200015 000000200002 0000 150.000,00-

004 40 BAPR 0000300100 Sale of Asset 140.000,00

005 40 BAPR 0000400302 Loss on sale of ass 10.000,00

Note: at he time of retirement the Asset net book value is Rs. 148.726,00

Depreciation posted : 1.274,00-

i need right solution for this

thank very much,

Sreehari

[ajaycwa1981 · Accepted solution]

Hi

If you depreciation for retirements till the end of the month, create a new Period control for retirements , say, Z6 instead of 06

In OAVH:

K4 - P1 - 31

K4 - P2 - 28

K4 - P3 - 31

.

.

.

.K4 - P12-31

If you want dep on Day basis, then you need to tick "Dep to the day" indicator in Dep Key.. This may recalculate dep

br, Ajay M

[former_member1310440 · Accepted solution]

Thanks all,

My problum is solved

actually Asset acquisition year and retirement year is same in this scanario the depreciation are not shown in the retirement time

but Asset acquisition was last fiscal year and retirement year is corrent fiscal year in this scanario the depreciation is shown correctly

Thanks,

Sreehari

[Former Member]

Hello

Could you please help how your pblm solved?

I am having same doubt

[Former Member]

Hi

If you are selling the asset with Customer your entry should be as follows:

Customer Dr ... 900.00

Asset Cr ... 1000.00

Acc Dep Dr ... 41.66

Loss in sale of FA Dr ... 58.34

Regards

A. Manna