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Former Member
Jun 30, 2009 at 03:59 PM

Depreciation calculation of leased assets on a straight line basis

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Hello all,

We have had a query from one of our end users, asking why the depreciation of leased assets is not calculated on a straight line basis.

For some reason, the calculation is not on a straight line basis. Instead, it is back end loaded in the opposite way to the interest charge being front end loaded.

As my background is not in Assets, I am hoping you could advise if a Depreciation Key for the above scenario exists.

The end users have been using following Depreciation keys;

LEAS Leasing - Straight Line Interest Depreciation

LINR Str.-line from rem.life to book value zero

Many thanks,

Damien.