01-31-2018 4:54 PM - edited 02-04-2024 3:39 AM
We have some migrated assets that were migrated into ByD with 6 years left on an original 10 year expected life.
We would like to change these to 15 years and have the monthly depreciation recalculated at a lower amount based on the NBV in the current financial year. The result would be to have the a reduced monthly amount running until the end of the 15 years based on the NBV at the point of making the change.
Many thanks for any assistance on this matter.
Hello John,
You can make this change by following below step :
1) go to Fixed asset work center
2) fixed asset view
3) Search for fixed asset
4) Edit and select master data
5) Navigate to asset valuation subtab
6) Under current valuation tab, you can make the change (This change will be applicable from the Depreciation start date/ initial acquisition date/capitalization date)
As I understand, you would like to change to be effective from the date of change, in this case you need to change
7) Go to valuation tab
😎 add row and enter the required detail (Change the start date accordingly). in this case the changes will be applicable from the start date maintained in the valuation interval.
Make sure to verify the values and impact of the change on depreciation.
I hope this will help you.
Regards,
Harshal
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Thanks Harshal,
I did play around with this but it still does not take the NBV into account. The Depreciation method being used is Straight line, Acq to 0 and I think this is where the issue is as if we change the useful life it just recalculates the monthly depreciation as acq cost / useful life - changing the dates in the valuation interval does effect the monthly rate but does not take NBV into account so either rate or duration is incorrect. I did setup a NBV over useful life Depreciation Method but that did not seem to do anything different on a migrated asset with legacy system accumulated Depreciation.
If I create a new asset and adjust this during the initial year then it works as expected so I do wonder if it would for any assets that have had prior year depreciation already?
Regards
John
Hi John,
as far as I know when you change the depreciation method/ useful life, system recalculates the depreciation values. but this recalculations will be only for previous year/periods that are still open in the system.
If the previous year is closed then, difference in the values will be adjusted during the first open period in the next depreciation run.
Regards,
Harshal
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