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Wrong asset capitalized with wrong amount in closed fiscal year

Hi,

I have an asset that was capitalized with the wrong amount in a closed fiscal year. Now in this current fiscal year, it's depreciated for 9 months, it's discovered later that we overestimate the capitalized amount with 2 million.

Please advise.

You help is appreciated.

Thank you.

Regards,

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1 Answer

  • Nov 27, 2018 at 10:20 AM

    Hi,

    Corrections you can make only in open fiscal years. When you reverse the capitalization, the depreciation will be corrected also within the next depreciation run.

    If the fiscal year is closed you can make a retirement. In this case there will be also a correction of the depreciaiton, but of course not for closed fiscal years.

    To adjust depreciation for closed fiscal years there are the following Transactions:

    unplanned depreciation (tr. ABAA)

    An unplanned value correction as the result of a reduction in asset value, that appears to be permanent.

    write-up (tr. ABZU)

    The reversal of past depreciation.

    Write-ups are necessary either when the depreciation posted was too high or when the reasons for unplanned depreciation no longer apply.

    best regards

    Bernhard

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