Legacy Assets Transfer during the fiscal year

[Former Member]

Dear Gurus,

We are using fiscal year variant V9 (Oct - Sep) and planning to take over the assets on 1st Aug 2009, which means depreciation in the previous system completed till July for FY 2009. For this i have made the settings in transactions "Specify Transfer Date/Last Closed Fiscal Year" (01/08/2009) & "Specify Last Period Posted in Prv.System (Transf.During FY)" (2009 - 10) under SPRO --> FA (New) --> AA --> Asset Data Transfer --> Parameters for Data Transfer --> Date Specifications.

And Year end closing was set to 2008. After doing all this config setting i tried posting asset in AS91 with useful life of 6 years (capitalisation date 01/10/2006), but the system is not calculating the depreciation as expected.

Asset Capitalisation date: 01/10/2006

Ordinary depreciation start date: 01/08/2009

Dep. Key use: Depreciation based on useful life of the asset --> 5% we are keeing as scrap value rest of 95% will be depreciated during the useful life of the asset

Useful life of the asset: 6 Yrs

Expired useful life updated as 2 years 10 months

Hence i have updated the transfer values as Acquistion value 10000; Accumulated dep. till 31/07/2009 as 4486.11.

When i go to asset explorer Posted values is showing correctly and the depreciation is charging for Aug and Sep only as expected. Whereas in comparisons tab depreciation is showing as follows:

< 2009 - 4486.11

2009 - 263.89 -- for the remaining two months CORRECT

2010 - 1583.33 -- depreciating correctly as expected

2011 - 1583.33 -- depreciating correctly as expected

2012 - 263.89 -- depreciating only for 2 months instead of 12 months (NOT CORRECT)

Can any one please guide me when the system is calculating only for 2 months in the year 2012?

I tried tried updating the acquisition values as 10000, Accumulated dep. 3166.67 till 2008 and the current year depreciation 1319.44 in ordinary depreciation, this also didn't work correctly.

Please let me know where i am going on wrong.

Thanks

Kiran Yelamarthy

Edited by: Kiran Kumar NVL Yelamarthy on Jul 22, 2009 5:23 AM

[Former Member · Accepted solution]

Hi Kiran,

Please change your asset transfer date to 31.07.2009. (but not 01.08.2009)

in dep keys tab during AS91, you need to maintain the same date as capitalisation date for ordinary dep start date

Please enter accum dep value in the takeover values tab during AS91 is only up to the last closed FY manually. (till 30.09.2008--according to you)

In the same screen there will be another field called posted ord dep, here you need to enter the posted dep amount, which is posted in the legacy system for the legacy asset in the curr FY. (from 01.10.2008 to 31.07.2009)

Expired usefull life in years and periods will be derive based on the capitalisation automatically.

As you said in 2012, system is calculating dep for 263.89, may be for this year the net book values at the start of FY 2012 was 263.89----please check

Try to create a new asset with my guidelines and check the dep forecast in the asset explorer.

Thanks,

Srinu

[Former Member · Accepted solution]

Dear Srinivasa,

Thanks a lot for your reply. Its working now.

I need some clarification on this. After posting the AS91 as the way you suggested, and when i see in asset explorer under posted amount the 10 months depreciation for the current is also showing.

If i run dep. for period 11 (for the month of Aug first time), this will get posted in P&L GL Account, i don't want this to happen - i want the current year depreciation should be posted to accumulated dep, because at the time of take over there client is closing the P&L accounts and transferring the balance to Retained Earning account - hence i can't charge 10 months depreciation again to P & L Account.

Is there any way to do this?

Thanks

Kiran Yelamarthy

[Former Member · Accepted solution]

This message was moderated.

[Former Member · Accepted solution]

Dear Srinivasa,

Yes i clear now with you clear cut answer. At what point of time the current year depreciation amount go and sit in accumulated depreciation account - this is my last and final question :-).

Once again thanks a lot for your expert advice on this.

Thanks

Kiran Yelamarthy

[Former Member · Accepted solution]

Kiran,

Very good finding man.......

When you are doing transfer postings of legacy asset data's balances to asset recon accounts with OASV, you need to adjust this ord dep posted (curr yr dep) also.

For ex lets say-your APC value is 1000-Accum dep till last day of last FY is 200---and ord dep posted amount (curr yr dep, which is posted in legacy system) is 50. And in this scenario your adjustment entry in OASV will be as same as below entry.

1st entry) APC Value new GL Account Dr 1000

Accum Dep new GL account Cr 250 (200+50)

Asset OB Upload clg acc Cr 750

2nd entry) Asset OB upload clg account Dr 750

Accum dep old GL A/c Dr 250

APC value old GL account Cr 1000

Here new GL account means, the recon GL account, which is using currently for asset APC and Accum Dep postings. And old means, the recon GL account numbers, those used in your legacy system.

My sincere advise is that, please use F-02 for transfer postings other than OASV, since F-02 is very flexible.

Before doing F-02 switch off recon indicators for all asset related GL accounts with OAMK and pass F-02 entry and switch it on again.

I hope this is more helpful to you.

Dont say that this is my last question or something else man....

This forum is meant for these kind discussions only.

Thanks,

Srinu