How to charge depreciation on scrap value

[former_member564433]

we have a leased asset of which useful life of 4 years is completed and scrap value is remaining say Rs.1000 (Which is showing as WDV)

Now as per the requirement, we want to depreciate partial scrap value say 500 in 3 months and remaining 500 in another 3 months.

is there any standard configuration to charge depreciation on scrap value

[giova10ni · Accepted solution]

Dear Roshan,

If an asset has a scrap value then depreciation will stop when this value is reached. Now you decided to continue charging depreciation to this asset.

-In AS02 go to tab Deprec.Areas and then double click on DKey. Delete the scrap value amount.

-Select (or create) an appropriate depreciation key in AFAMA for this asset which calculates the required monthly depreciation. Enter an appropriate % in Multilevel Method in so that monthly depreciation is 166.66 (1000/6) for the next 6 months.

-Since the useful life of the asset has ended then in the base method of the depreciation key select

Dep. after plnd.life end:Yes

Dep.below NBValue zero:No

Alternatively post Revaluation of depreciation in ABAW for an amount of 166.66 each month for the next six months.

Thanks

[Ayman]

Hi Roshan,

I agree with answer of Georgios,

However , I may suggest creating new asset with all depreciation key that you want , then do intra asset transfer through ABUMN

Please keep me updated

Thanks

Ayman A. Mohamed