Calculation of Asset Depreciation based on SLM or WDV

[Former Member]

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

[Former Member · Accepted solution]

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

[Former Member · Accepted solution]

Hi,

Thanks for the reply.

If we are calculating depreciation based on percentage than how system is taking useful life into account for depreciation?

Pls clear my doubt.

Thanks,

Taral Patel

[former_member188028 · Accepted solution]

aren't you maintaining useful life in asset master?

[Former Member · Accepted solution]

No,

We are maintaining Dep. Key and based on the same system is calculating depreciation.

Also in some of co codes we have maintained useful life as per they given.

Thanks,

Taral Patel

[Former Member]

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

[former_member188028]

Based on the Base method of Depreciation key.

[Former Member]

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