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Former Member

Depreciation Key Changes

Hi I want to know what will the Consequences if we changed depreciation key for closed year. Can we change it from date of aquisition.

Manoj J

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3 Answers

  • Jun 18, 2010 at 10:49 AM

    Hi Manoj J,

    if you change the depr. key it will effect all open fiscal years, not closed fiscal years.

    regards Bernhard

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    Former Member
    Jun 19, 2010 at 07:15 AM

    Hi,

    It will not have effect on closed financial years. But it will calculate depreciation with back date and shows as planned during the current open period.

    Muralidhar

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  • Jun 20, 2010 at 12:53 AM

    Hi,

    Changing depreciation key will have following effects...

    When smoothing is not active

    1) It will recalculate depreciation from the original depreciation start date and will catch up in the next depreciation run for all the closed periods and

    2) For the subsequent periods, depreciation will be calculated as per new depreciation key.

    When smoothing is not active,

    1) It will spread the delta depreciation for the remaining useful life of the year

    However, if you happen to open a closed year (OAAQ) after changing the depreciation key, for any reason, the system will expect you to post the delta depreciation for that year before closing that year. (I experienced this while changing the useful life and I guess, it is applicable for any change in depreciation terms)

    Best Regards,

    Madhu

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