Hi,
I have done detailed addition and as on that date, I had taken cost and Accumulated Depreciation. Client wants to deduct depreciation on the basis of NBV for rest life period.
For Ex: NBV as on 1jul08 2500.
Life is 5 months.
Then for subsequent months it has to be 500 each.
How can i handle this. Please tell me what needed setup changes i have to do.
Depreciation for rest life period on NBV
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kishorebhupati
- Posts: 72
- Joined: Mon Oct 15, 2007 9:40 am
- Location: India
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kishorebhupati
- Posts: 72
- Joined: Mon Oct 15, 2007 9:40 am
- Location: India
Hi Aman,
It is like this, he has acquired that asset from other company. As on that day whatever the Asset original Cost and Accumulated Depreciation, he wants to consider. He is not having information related to full life period of the asset.
From the date he acquired on the left out NBV he wants to split for rest of life period of the asset.
For Ex: On Acquired date Cost is 25000 and Accumulated Depreciation 22500. So NBV on that date is 2500. Life period left is 5 months.
It is to split of in like 2500/5 i.e. depreciation of 100 per month.
Please suggest.
It is like this, he has acquired that asset from other company. As on that day whatever the Asset original Cost and Accumulated Depreciation, he wants to consider. He is not having information related to full life period of the asset.
From the date he acquired on the left out NBV he wants to split for rest of life period of the asset.
For Ex: On Acquired date Cost is 25000 and Accumulated Depreciation 22500. So NBV on that date is 2500. Life period left is 5 months.
It is to split of in like 2500/5 i.e. depreciation of 100 per month.
Please suggest.
Now u have 2 options to enter the asset.
1. It shows that u buy asset for 2500 not for 25000 ? if it is correct then enter asset cost as 2500 and ignore previous dep as it was not related to your business.
2. Detail addition -- Enter asset current cost 2500 (NBV) and original cost as 25000 enter accumulated dep as 22500 and YTD for the period then run dep and check ur results if it correctly calculate desired dep and new NBV for the asset
Discuss above possibilities with the client and Perform both scenarios in test then let me know if it works for u.
thanks,
1. It shows that u buy asset for 2500 not for 25000 ? if it is correct then enter asset cost as 2500 and ignore previous dep as it was not related to your business.
2. Detail addition -- Enter asset current cost 2500 (NBV) and original cost as 25000 enter accumulated dep as 22500 and YTD for the period then run dep and check ur results if it correctly calculate desired dep and new NBV for the asset
Discuss above possibilities with the client and Perform both scenarios in test then let me know if it works for u.
thanks,
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kishorebhupati
- Posts: 72
- Joined: Mon Oct 15, 2007 9:40 am
- Location: India
Hi Aman,
Thanks but i cant go with first option as he wants to have track of original cost and Accumulated depreciation.
Going with the second option it does n't allows as when i take current cost orginal cost get greyed out and it gives error message saying accumulated depreciation cant be greater that cost.
Thanks but i cant go with first option as he wants to have track of original cost and Accumulated depreciation.
Going with the second option it does n't allows as when i take current cost orginal cost get greyed out and it gives error message saying accumulated depreciation cant be greater that cost.
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