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Asset depreciation starting from capitalization date For Vietnam Localization

sanjay_ram
Participant
0 Kudos

Hi,

There is a requirement to compute Asset depreciation as follows where on the first month it should be calculated based on the daily depreciation and the following months it should calculated based on the monthly depreciation.

Example :-

Asset value 1200
Useful life 10 years
Yearly depreciation 120
Monthly depreciation 10
Asset capitalization date 15th October 2023
So for October the depreciation should be calculated only for the remaining 17 days in October and November onwards it should be calculated as 10.

We cannot use depreciation to day option because then the system computes the depreciation by daily for the entire useful life.

We also cannot use the period control methods because all of them will pro rate it by period.

We also cannot use the changeover method because we will not know the percentage/value after which to change over.

So no standard solution looks promising here. Please advise on this.

Accepted Solutions (1)

Accepted Solutions (1)

Mark_W
Product and Topic Expert
Product and Topic Expert

Hi Sanjay,

Can you not use a time interval for one period, and then a new time interval for remaining UL of asset?

Regards
Mark

sanjay_ram
Participant

Hi Mark,

Thanks a bunch, you nailed it. Although may not be the ideal solution (since a manual intervention is required), there is no other options either.

Assigning full marks!

Thanks again.

Answers (0)