expensed and amortized adjustments in FA??

[sateesh.d]

Hi ALL,

Can any one explain me what is expensed adjustment and what is amortized adjustment... in FA...??

[muzaffarnaim]

Hi Sateesh

If you change financial information of any asset after you have run depreciation (like you run unplanned depreciation or change depreciation rule etc), you must choose whether to expense or amortize the adjustment. In case of <b>expensed adjustment</b> FA recalculates depreciation using the new information and expenses the entire adjustment amount in the current period. While if you choose <b>amortized adjustment</b> spreads the adjustment amount over the remaining life of the asset.

[sateesh.d]

Thanks Muzaffar Naim....