AA - Rounding method in ordinary depreciation

[Former Member]

Hello everyone!

I would like to know if the rounding method for asset value can be changed by configuration.

For example, looking on the Asset Transaction part, we have on the acquisition that it received the amount of $ 516,81 by the Transaction Type 336 (Acquirg transfer of curr-yr acquis from inv.meas.) and at the same line the ordinary depreciation on transaction is displayed as $ 1,81. The same thing happens to the next acquisition values on the same date, the 2 last columns were calculated by me.

Date Acquisition TrType OrdDep ExactDep Difference

31.12.2009 $516,81 336 1,81- 2,15 0,34

31.12.2009 $305,04 336 1,04- 1,27 0,23

31.12.2009 $99,79 336 0,79- 0,42 -0,37

31.12.2009 $64,63 336 0,63- 0,27 -0,36

31.12.2009 $15.535,84 336 64,84- 64,73 -0,11

31.12.2009 $114,14 336 0,14- 0,48 0,34

31.12.2009 $45,91 336 0,91- 0,19 -0,72

31.12.2009 $402,64 336 1,64- 1,68 0,04

We have already analyzed that:

- The rounding method cut off the cents (where is it configured?)

- The use life is 20 years = 5% per year

- According to the exactly depreciation per month, the difference between the ordinary and exactly depreciation is lower than 1, so it means that, it catches the closest value (with the 2 decimals acquisition amount) to the exactly depr. For example, amount $ 516,81 u2013 wants to cut off the $ 0,81 u2013 so which depreciation is near to the $2,15: $ 1,81 or $ 2,81? Is the $ 1,81

- If you select one line and go to the depreciation calculation button, then there is the button rounding and displays a new window: value type N (ordinary depreciation), rounding basis V (value), rounding method 0 (arithmetic rounding), Internal Decimal Places 2 and rounding places 2 (where are these last 2 configured?)

At last, the user wants to stop doing the depreciation with roundings. Is it possible to change it by configuration or is it set in the program.

Thanks, Kathia

[former_member205041 · Accepted solution]

Hi Kathia,

in Tr. OAYO you can make the rounding.

regards Bernhard

[Former Member · Accepted solution]

Hi Bernhard,

Thanks for the reply!

I have checked the OAYO, the "Net book value at year end" and "arithmetic rounding" contain the activated flag. But, the question is: how is it configured as "2" in the "Number of Places for Rounding in Depreciation Calculation" (Decimal places of the value that are rounded to zero) field? Is it set in the standard program? Is this "2" that makes the ordinary depreciation becomes $1,81 instead of $2,15?

PS the "2" comes from, my comment:

"-If you select one line and go to the depreciation calculation button, then there is the button rounding and displays a new window: value type N (ordinary depreciation), rounding basis V (value), rounding method 0 (arithmetic rounding), Internal Decimal Places 2 and rounding places 2 (where are these last 2 configured?)"

Thanks

[madhusoodanan_ramachandra · Accepted solution]

Hi,

As Bernhard said, this is configured in OAYO.

If OAYO setting is

Net book value at year end - Checked

Automatically calculated depreciation - Unchecked

Replacement Value - Checked

Arithmatic rounding - Opted

You will get setings as belw.

N V 0 2 2

I want to add one more point to this....

Checking the first three, populates value for Round. The number 2 is determined based on currency decimals as per Global currency settings. For eg. If currency is USD, you get 2 when you check this whereas, 0 if the currency is JPY as the JPY currency doesn't have decimals.

Hope this clarifes your dount.

Best Regards,

Madhu

Edited by: Madhusoodanan Ramachandran on Sep 15, 2010 4:54 PM

[Former Member · Accepted solution]

Hi Madhu,

thank you guys, now I figured out that the flag set, brings this kind of conditions.

But now the problem is: the user would like to stop using this rounding, it means to unflag the "Net book value at year end".

1st - what are the impacts if unflag rounding? I mean we are in period 9 in FY 2010. There are many assets with the depreciation value planned

2nd - is it possible to unflag (by the business opinion, is it corret?)?

3rd - if it is possible, what have to be done to fix the next depreciations?

PS:I found out that the client has passed through an upgrade, from 4.7 to 6.0 and EA-FIN was activated on June, 12nd.

Thanks

Edited by: KathiaTsuboi on Sep 17, 2010 8:02 PM

[Former Member · Accepted solution]

Hi Madhu,

thank you guys, now I figured out that the flag set, brings this kind of conditions.

But now the problem is: the user would like to stop using this rounding, it means to unflag the "Net book value at year end".

1st - what are the impacts if unflag rounding? I mean we are in period 9 in FY 2010. Are many assets with the depreciation value planned

2nd - is it possible to unflag (by the business opinion, is it corret?)?

3rd - if it is possible, what have to be done to fix the next depreciations?

PS:I found out that the client has passed through an upgrade, from 4.7 to 6.0 and EA-FIN was activated on June, 12nd.

Thanks

[Former Member · Accepted solution]

Thanks

Edited by: KathiaTsuboi on Sep 21, 2010 7:27 PM