on 12-04-2012 4:58 PM
Hi
We got a problem for an asset whoseful life is expired in Nov 2012.The entire depreciation posted from Jan 2012 to Oct 2012 got reversed or posted wih "-"ve sign in Nov 2012. The depreiation amut from Jan 2012 to Nov 2012 updated as planned dep in Dec which is wrong
Useful life: 6 years
APC: 5,173,234.09
Monthly depreciation 71,850.47-
Actual dep start date - 1.12.2006
As of December 31, 2011, the netbook value of the asset was 788,970.18 THB
Also as of December 31, 2011, remaining useful life should be 11 Months i.e nov 2012.
| 788,970.18 | NBV as of December 2011 |
January | (71,850.47) | Depreciaition |
February | (71,850.48) | Depreciaition |
March | (71,850.47) | Depreciaition |
April | (71,850.47) | Depreciaition |
May | (71,850.48) | Depreciaition |
June | (71,850.47) | Depreciaition |
July | (71,850.47) | Depreciaition |
August | (71,850.48) | Depreciaition |
September | (71,850.47) | Depreciaition |
October | (71,850.47) | Depreciaition |
| 70,465.45 | NBV as of October 2012 |
|
|
|
November | 718,504.73 | All Depreciation postings (January - October) was reversed |
December | (788,970.18) | Booking the entrie amount 2012 YTD |
| (70,465.45) | Difference between Nov and Dec 2012 (offsetting the value as of October |
|
| NBV As of December 2012 |
We are using base method as "percentage from useful life" , period conrol is "period start" , multievel metod with base value "replacemen Value" but no cut of value key is assigned for dep key.
Please help us to understand why dep got reversed in Nov 2012?
Radha,
Did you made any changes to Depreciation key such as from XYZ to 0000, if yes then this is expected.
Please keep in mind that when you change the Dep. kep from XYZ to 0000 and run the depreciation, system will reverse the depreciation from posted values to ZERO for all open periods.
You should be very careful in doing this..
Also verify the change document on the asset may be, some one else would have done, or add the AW01N Screen shot here.
Thanks,
Nishan Dev
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Radha,
Yes I can see depreciation are reversed, but still I am unable to figure out how it happened, this changes are only possible if we make some changes on asset master specifically on depreciation key.
Also can you check if this observation only for one asset ? or for most of the asset? specially the asset which are using this depreication key. ?
Then we can investigate on depreciation key , is it standard key ? or Z key ?
Also please add screen shot of depreciation area for this asset.
Thanks,
Nishan
Hi,
Your netbook value is 788970,18. Monthly depreciation is 71850,47. Useful life: 10,980724 months. This is the point. It isn't okay because the system works only for integral values.
Analysing your information we have:
1 - Monthly depreciation: 71850,47
2 - Year Depreciation: 862205,64
3 - Remaining Year Depreciation: 215551,41
4 - Legacy Data Transfer: 646654,23
Your Legacy Data Transfer is different. This amount is defined in AS92 -> takeover value -> field: Ord.dep.posted and overflows Accm.ord.deprec. It regards only same year previuous months. Please check this information.
Other situation is depreciation the start date and useful life. I recommend you write in a excel sheet all Asset Lifetime month by month. Your start date would be from go-live, and your useful life would be the number of months up to lifetime end.
Probably to preserve monthly depreciation amount you must be forced to enter a netbook value for 11 months value: 790355,17 instead 788970,18. In this case you can subtract the difference from Accm.ord.deprec.
Let me know if I was clear.
regards
Hi Nishan,
Dep Key is "Z" key here are the screenshots. It is affecting all the assets whose life is 6 years and has to be expired by Nov 30 2012 and also have the same dep key. Ordinary dep start date is 1.12.2006.
Dep key - settings
Base Method
Multilev Method - Base value 03 - is for Revaluatin Value
We are using the same key for different company codes. Only got problem for one company code.
The only difference I found is in legacy data transferred in 2011. The acc dep as per the key is 659119.52 but loaded as 644883.86 for 2011 till Sept. Later on dep amount got changed from Nov 2011 and same amount got posted till Oct 2012. NBV as of Nov 2012 30th is not equal to monthly dep. NBV is 70465.43 but monthly dep is 71850.47. Is this causing the issue??
Regards
Radha
Hi Marssel,
Thank you for your reply. The legacy uploaded values are different at the time go live. Data migrated in 2011 and ordinary dep start date is 1.12.2006
As per the dep. method... the NBV as of Nov 2012 should be 56229.78, but as per the system, NBV is 70465.43. Please see the calculation below.
Legacy Acc dep till 2010 Dec | 3522058.23 | uploaded in AS92 |
posted dep till 9th period 2011 | 644883.86 | in AS92 |
Amount posted at the time of Go live | 4166942.09 | |
10 | 73,620.87 | |
11 | 71850.48 | |
12 | 71850.47 | |
2012 -1 | 71850.48 | |
2 | 71850.47 | |
3 | 71850.48 | |
4 | 71850.47 | |
5 | 71850.48 | |
6 | 71850.47 | |
7 | 71850.48 | |
8 | 71850.47 | |
9 | 71850.48 | |
10 | 71850.47 | |
5,102,768.66 | ||
5173234.09 | ||
70,465.43 |
Calculation as per Dep key | ||
01.12.2006 | 1 month | 73,235.50 |
2007 | 12 months | 862205.6817 |
2008 | 12 months | 862205.6817 |
2009 | 12 months | 862205.6817 |
2010 | 12 months | 862205.6817 |
2011 | 9 months | 659119.515 |
Total as of go live | 4,181,177.74 | |
10 | 73,620.87 | |
11 | 71850.48 | |
12 | 71850.47 | |
2012 | 1 | 71850.48 |
2 | 71850.47 | |
3 | 71850.48 | |
4 | 71850.47 | |
5 | 71850.48 | |
6 | 71850.47 | |
7 | 71850.48 | |
8 | 71850.47 | |
9 | 71850.48 | |
10 | 71850.47 | |
Total Acc dep till oct 2012 | 5,117,004.31 | |
Acc cost | 5173234.09 | |
NBV as on Nov 1st | 56,229.78 |
As NBV is less than the monthly dep, is this causing the isssue?? You can see dep key settings in my earlier reply.
Thanks & Regards
Radha
Yes, in this case the system is adjusting planned values for 11 months. You must check the takeover fields: Ord.dep.posted and Accm.ord.deprec.
Ord.dep.posted is legacy migration in current year.
Accm.ord.deprec. is the depreciated amount in all times
E.G.:
Depreciated values from 2011/01 to 2011/12 = 1000
Depreciated values from 2012/01 to 2012/06 = 500
Ord.dep.posted = 500
Accm.ord.deprec. 1000 + 500 = 1500
please chek that on AS92
Radha, I would suggest you to raise an OSS message.
Regards,
Sudhakar*
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