Depreciation is getting reversed

[Former Member]

Dear Friends

-Purchased an asset of Rs.550 on 01.04.2008 and Depreciation rate assigned is 3.34%.

-Run the depreciation for april i.e., 1 period it has calculated Rs.2/-

-Run the depreciation for may i.e., 2 period it has calculated Rs.1/- (it is rounded off)

-On 01.06.2008 Sold partial asset of Rs.500 and gained profit on sale of asset is Rs2.73.

-Again on 01.06.2008 scrapped partial asset of Rs.25/- and posted to Loss on Sale of asset.

-In AW01N the planned value of depreciation was 0 from period 04 to 10.

-When I did depreciation run for July i.e., 4th period the posting was happened as follows:

PK D/C GL account Amount

70 Dr Accumlated depreciation Rs.1

50 Cr Depreciation on asset Rs.1-

My question here is why the depreciation account was credited and accumulated depreciation account is getting debited. What could be the problem, In which area it might be went wrong.

Regards

Prabhakar

[Former Member]

Dear Prabhakar,

Whenever we sell any asset on any day of the month, system calculates the loss or gain on asset sale & post the document and logically not only in asset account but also in accumulated dep. account values should become zero but in SAP there remains balance in accumulated dep. & ord. Depr. account because we have posted the asset sale doc. in between the month so when we run the planned dep. for next period system will post the difference & close the account.

Thanks & Regards

Anuj Agarwal

[Former Member]

Dear Anju

Thanks for your reply, in my case the asset is not exhausted completely, still there is a balcne of Rs.22 in NAV, after taking care all the depreciations. At that time when I run the dep. run it has reversed the Depreciation by Re 1/ and the corresponding entry posted to Accumulated Depreciation , it means Accumlated depreciation got debited. For your information when I did for the subsequent month, again it has posted correctly. Here I am getting a doubt. Why it is happening like this.

Hope you understand the problem.

Regards

prabhakar

[Former Member]

Look to the asset value dates you used, and to the period control rules in your depreciation key.

This is the bases for these depreciation postings

[Former Member]

Dear Mr.Paul

Thanks for your reply, I have not assigned any variant to the default asset value date, though SAP provided default variant as SAP_Default. Please clear me is it require to assign the same to company code. Secondly, in Depreciation key I have maintained period control method as 001 since, it is not applicable to any tax calculation and pertains to book depreciation only.

Regards

Prabhakar