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Depreciation beyond useful life

Former Member
0 Kudos

Hi

In our existing system, we have an
asset with depreciation key SLFM
where the base method is 0007 and we allow
depreciation beyond planned
life end.

This particular asset has
acquisition posting with asset value date
10.04.2012 of amount $2400. Initial
useful life is 1 year. Later the
useful life was changed to 8 months. The
planned depreciation was
adjusted and end in Nov 2012. However, as the
initial acquisition
value was too high, we posted an asset posting with
transaction type
101 of value $2000 for instance. For the latter posting,
the
depreciation posting ends in May 2013. Why is this so? I also
expects
the depreciation to end in Nov 2012.

Please advise.

Accepted Solutions (0)

Answers (2)

Answers (2)

Former Member
0 Kudos

Hi,

Thanks for your reply.  The negative posting was posted on the same asset value date as the acquisition posting.  However, the after posting the negative posting, the deprepciation does not end in Nov 2012 but stretches till next fiscal year.  In Dec 12, there is positive dep posting.

How does a change in dep key affect the asset?  Based on the existing dep key, the period control = period start date for acquisition posting.  However, for Multi Level Method, my base value is 03.  Any implication on this?

thanks.

ab_ab
Active Participant
0 Kudos

Hello Tan

Yes, the system should work the way you defined above. The depreciation should end in Nov 2012. When was the negative values to the asset posted? Please check if some one changed the depreciation key on the asset? Also what is the period control that you have for the key?

If you have the settings like below, then your Dep Key is correctly maintained.

Multi Level Method: Base val = 01, Rem. life indicator should not be checked

Period control = Period start date

Base Method = 0007, Dep Method = D

If you have the above settings, then your config is correct. In that case I would guess some one has changed the master data.

Thanks

Asheesh Bhatia