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Former Member
Nov 04, 2009 at 03:42 AM

Depreciation issues

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Hi experts,

Please advice on the following case:

Item ABC - SGD14,689.00

Straight-Line 120uselife (acquisition value/uselife) = SGD14,689.00/120 = SGD122.41 per month

PR Temporis Type: 1st day of current period

Acquisition on 1st Mar 2009, capitalization date on 1st Mar 2009

Issue:

I want the depreciation on 31st March 2009 = SGD355.56

Depreciation on 30th Apr 2009 = SGD0.00

Depreciation on 31st May 2009 = SGD11.67

Actually the result is = SGD122.41*3 = SGD367.23, but according to my client that they over depreciated on 31st Mar 2009. So, I have to create transactions exactly same as my client's balance sheets. Depreciation on June is back to normal.

Is the above scenario can be carried out using Fixed Assets add-on?

I have been thinking that I should the set the capitalization to 1st June 2009 instead of 1st Mar 2009 then create manual depreciation for 31st March 2009 and 31st May 2009. Change the uselife to 117 and change the calculation method to net book value/uselife. Is it okay?

Thank you.

Best regards,

Lim