Stop Depreciation for Single Period in Corp Book.

This forum is to discuss different features/issues of Oracle Financials modules ( GL - General Ledger, AP - Accounts Payable, AR - Accounts Receivable, FA - Fixed Assets & CM - Cash Management ).
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Anjireddy.r12
Posts: 67
Joined: Sun Dec 12, 2010 4:42 pm
Location: India

Stop Depreciation for Single Period in Corp Book.

Post by Anjireddy.r12 »

Hi,

Can we stop Depreciation Calculation for Total Assets(15,000) of a Corporate Book for Single Period?

We want stop depreciation for all the assets of corp book in Current open period (3rd) and want calculate Depreciation from Next Period 4th. Is there any possibility to stop and enable depreciation Book wise.

Please let me know your valuable suggestions.

Thanks & Regards,
Anjireddy
karthikeyanp1981
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Joined: Thu Nov 09, 2006 4:50 pm
Location: India
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Post by karthikeyanp1981 »

Hi Anjireddy,

we can stop depreciation calculation for an asset by UNCHECKING the depreciation checkbox for the asset. As you have larger volume of assets you can use technical help, as there is an standard oracle API which can perform this task. By using the API you can disable depreciation computation for all the assets you wanted ....
However when you enable the depreciation back in next month, system would perform catch up depreciation from DPIS and charge it in next month.

Regards
Karthikeyan
Anjireddy.r12
Posts: 67
Joined: Sun Dec 12, 2010 4:42 pm
Location: India

Post by Anjireddy.r12 »

Hi Karthikeyan,

Thanks for you reply.

As i understand, we must change the <b>DEPRECIATE_FLAG</b> of all Assets to <b>NO</b> through API, and Run the depreciation, then system doesn't calculate depreciation for the 3rd month and we need to change DEPRECIATE_FLAG again to Yes in 4th period and run Depreciation,

Mainly, my requirement is system never calculate the depreciation for 3rd period, it will calculate for 4th month only, like below,

Period1 - 100
Period2 - 100
Period3 - 0
Period4 - 100 (not 200)
Period5 - 100

Is it possible by changing the DEPRECIATE_FLAG and no need to catch up previous month Depreciation.

Thanks & Regards,
Anjireddy
karthikeyanp1981
Posts: 463
Joined: Thu Nov 09, 2006 4:50 pm
Location: India
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Post by karthikeyanp1981 »

Yes, your understanding is correct.
However your requirement may not be met directly in the Asset Module, since the basis on which oracle asset module computes depreciation is based on Date Placed In Service .....which would prevent any shortfall in depreciation computation.
The only workaround which i could think of at this point is that, let Asset Module compute depreciation and perform accounting and transfer to General Ledger the entries .... and reverse the Depreciation related Journal entries from General Ledger for this month alone .....
Regards,
Karthikeyan
AmanKhan
Posts: 387
Joined: Wed Sep 26, 2007 2:51 am
Location: Pakistan

Post by AmanKhan »

HI Anji,

There are two more options but that require more effort to achieve the goal.
1. Run Dep in Period3 and enter unplanned Depreciation and reduce assets dep amount to 0. Run transfer and journal should be of 0 amount.
2. Uncheck Dep in period3 and close period. In period4, enable dep flag and run dep and enter unplanned dep for all catchup dep from period3.

As i mentioned, its time consuming and you have to perform this adjustment for each each asset manually or can prepare some dataload to reduce effort.
The only benefit is that your goal will be achieved.

Regards,
Anjireddy.r12
Posts: 67
Joined: Sun Dec 12, 2010 4:42 pm
Location: India

Post by Anjireddy.r12 »

Hi Karthikeyan & Aman,

Thanks for sharing your knowledge with me.

I will work on this issue and come back.

Regards,
Anjireddy
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