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Depreciation for additions to start from the following month

Former Member
0 Kudos

Hi Gurus,

Have situation in depreciation posting, When acquisition happens depreciation has to start from next period on wards (Dep not to post in Acq period) this is working fine and good. (period control maintained as 11 for Acq)

In the same way it has to apply for Additions if any happens for existing Acquisitions. Period control set as next month 11 for additions, but system making the posting in acquisition period itself including catchup of previous periods from oredinary dep starting.

I want make the system to start depreciating dep from the following period rather than acquisition period for Additions and catcup dep also post in this from Ordinary depreciation start date .

Example of Issue:

Acquisitions:

Acquisition happend in Period-01, dep started from next period "02"

This working fine.

Addiotions:

Using the above example

Addition happend in period-05, Dep started from-05 including the catch up dep of periods; 02,03,04,05.

By right the depreciation posting has to starts in the following Perios 06, has to consider Catchup amounts also.

Any help on the above are appreciated most.

Points are available

Thanks in advance,

Vyas

Accepted Solutions (0)

Answers (3)

Answers (3)

Former Member
0 Kudos

Hi Vyas,

When u do Addition, u need to define the Reference date in More tab.

Here reference field is there. If u define, the system calculate the dep from the addition date.

ask more if u have

Venkat

Former Member
0 Kudos

I did that but it is written in field Asset value date for that transaction correct date from when additional acquisition is performed, but still depreciation is calculated from original capitalization date. Can you check your period control key? Thank you!

regards

Former Member
0 Kudos

Hi Milos,

I also done the Date change at reference tab, it's updating the asset value date correctly, but depreciation calculation is taken capitalization date only. At period control key have given Acq: 11 (Next month), Add 11 (Next month) Retire 02, Scrap 02.

Now my client asking want go for Smoothing rather than Catch up...

I'm working on that way..

Thanks,

Vyas

Former Member
0 Kudos

Hi Vyas,

If you want the system to calculate the depreciation on additions from the new date other than on the aquisition date, you should create a sub asset and capitalise on new date, otherwise it will calculate on acquistion date only.

If helpful assign points.

Regards

Ravi

Former Member
0 Kudos

It would be a solution, but what about revaluation for example? Revaluated value should be depreciated only from that time and not for date of acquisition. Or if my asset on which I'm posting additional acquisition has subnumber (asset 2100-1, this posting would give additional subnumber 2100-44), it seems to me at least not nice solution to do it on this way.

Message was edited by:

Milosavljevic Sreten

Former Member
0 Kudos

I'm experiencing same 'problem'. In period control, when I set 11 for Add, what I understand is for additional acquisitions, nothing happens. I'm also a bit confused what settings should be made for depreciation to be calculated on requested way

Former Member
0 Kudos

Hi Milosavljevic,

On the above system behaviour is right, but we have to understand like below:

What ever posted the Depreciation amount in the acquissition month it belongs to accumilation depreciation of the addition of asset ( from ordinary dep start date to untill acquissition period).These happend bcoz of catchup, the real depreciation was started from the following month onwards..

Hope this understanding made me clear...

If u able to find any thing better pla keep share..

Others plz comment on this for better understanding.

Thanks,

Vyas