Question

Fixed Asset Revaluation Depreciation

  • 1 November 2022
  • 4 replies
  • 161 views
H
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Hi,

 

Possibly a bit of a niche question but wondering if anybody else has seen this before and come up with a solution.

We purchased an asset which was then combined to another asset so it’s value was reduced to 0. Following a revaluation 3 years later it was decided that this asset did have a value and this was added using the change value functionality.

When depreciation was completed it depreciated the asset from the original date of acquisition of the asset so 3 years of depreciation at the new value was charged in the same month.

What we want to happen is that the asset will pick up depreciation from the date of the revaluation based on the life so revalued in 2022 with a 20 year life will depreciated Jan 2022 - Jan 2042.

 

We are using Apps 9 UPD11.

 

Thanks

Helen

4 replies

Ieva Rituma
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You could achieve this through creating a new depreciation method where the starting principle is an assigned date, but all other settings remain the same. 

Against the asset and the book per asset, we would need to change the method.

I’ve never seen anyone implement this, but the setup allows for this option.

 

 

IRituma
Ieva Rituma
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I forgot to mention, once you’ve added this against the fixed asset, the depreciation start date is defined against the book line for that asset.

IRituma
H
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Userlevel 2
Badge +6

Hi Leva Rituma,

 

Thank you for your swift response.

I have tried this but the asset has had some depreciation charged prior to the original write down to 0. Because of this it won’t let me add a start date to the book for depreciation.

 

Thanks for your help.

Helen

Ieva Rituma
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Userlevel 6
Badge +16

Thanks for the quick response. it does sound like the way to approach this would be to replace this asset or to create a new record transferring the value, because we are trying to have two different start dates for depreciation for the same asset and it does make sense that it is not allowed. The two assets can be reported together using the main asset and child asset relationship.

IRituma

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