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Calculation of Asset Depreciation based on SLM or WDV

Hi,

In our group of companies, we are depreciating assets based on requirement with either SLM or WDV method.

Generally as per my understanding, system is calculating depreciation based on class (where either Straight line or Declining balance depreciation is maintained.) which has been maintained in depreciation key definition (Assignment of calculation methods).

I have observed that in some of depreciation key though it is blank in Class, system is calculating correct depreciation for either WDV or SLM method. Is there any other setting for selection of relevant depreciation method from which system is calculating correct depreciation?

Thanks,

Taral Patel

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  • Best Answer
    author's profile photo Former Member
    Former Member
    Posted on Nov 22, 2011 at 01:36 PM

    hi taral

    D percnetage from useful life: in this system calculates percentage automatically according to useful life

    stated per: in this the percentage you maintain in multilevel method syatem take those stated percentage.

    similarly for declining method

    the class we maintain in key is just for classification

    Using this indicator you can classify depreciation calculated with this depreciation key.

    You can use this characteristic as a selection criterion in reporting.

    got it?

    regards

    rohit

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  • Posted on Nov 22, 2011 at 06:58 AM

    Based on the Base method of Depreciation key.

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    • Hi,

      I have seen base method of same depreciation key, in which below mentioned field values have been defined :

      Type of depreciation : Ord. Depreciation

      Dep. Method : Stated Percentage

      Dep. after planned life end : No

      Dep. below NB Value zero : No

      Curb : No

      From abovewhich field, system is bringing WDV as depreciation method into calculation?

      Thanks,

      Taral Patel

  • author's profile photo Former Member
    Former Member
    Posted on Nov 22, 2011 at 06:59 AM

    dear

    other than that

    base methods define dep method

    it is picking from base method

    CHECK

    Spro->Financial Accounting->Asset Accounting->Depreciation->Valuation Methods->Depreciation Key->Calculation Methods->Define Base Method

    regards

    rohit

    Edited by: ROHITBALI on Nov 22, 2011 8:09 AM

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