Shift Wise Depreciation

[vivek_srivastava12]

Hi Expert,

I have question regarding Depreciation of Asset.

We are in manufacturing company and we want the depreciation to be calculated as per the shift,

For Example in Sept'11 the machine is used only in one shift so the depreciation for that month should be as per 1 shift

in Oct'11 the machine is used for in two shift so the depreciation for that month should be as per 1 shift

In Nov'11 the machine is used for in two shift so the depreciation for that month should be as per 1 shift

How do we map the above scenario

My second question is

Asset Value = 1000 INR

Amortization amount = 999 INR

Difference = 1 INR

so now how to treat this balance at the time of Retiring the asset.

Please guide..

Best Regards,

Vivek

[former_member392819]

Hi View,

With regards to your requirement with Shift wise depreciation, you can do settings in asset master > Time dependant tab by clicking on More intervals.

With regards to your requirement with Amortization as Rs 1. You can show in the balancesheet the asset with Rs 1/-. If you want to retire the asset means, with customer you are doing or scrap you are doing? Please specify.

Thanks,

Sravan Kumar

[vivek_srivastava12]

Hi Sravan,

Thank for your valuable inputs.

I want to Scrap the asset and Sell to Customer both, can you please explain both the scenarios.

Br,Vivek

[former_member392819]

Hi View,

If you are scrapping, that amount will go the P&L account.

If you are selling to that customer, based on the amount you sell.. if finds the difference betweel sale value and net book value and post to the necessary accounts. (Profit on sale of asset and loss on sale of asse that you define in AO90).

F-92 for With Customer, ABAVN for Scrapping.

THanks,

Sravan Kumar

[vivek_srivastava12]

Hi Sravan,

Thank you so much for your valuable inputs.

Br,Vivek