Hi @boomonidamo 

Do you want to have negative balance on general ledger level? Or fixed asset ledger + general ledger level?

You cannot have negative balance on fixed asset ledger level. However you can keep balance of a fixed asset negative in general ledger. Create a Q function voucher for fixed asset transactions. This will not update fixed asset balances but only general ledger.

Hope this helps

Hi,

Thanks for your reply.  We were hoping to be able to track these at the subledger level rather than doing manual voucher entries but understand that this is not possible.

I appreciate the feedback.

Hi

You can still have subledger FA code on GL level, but it will not update balance of an fixed asset on Object Balance Analysis window.

Thanks

Hi,
I am not sure if I understand you corerctly. 
Is it the case of object with negative acquisition value or object with negative net value (accumulated depreciation greater than acquisition/depreciable basis)?
While objects with negative base value are forbiden/not supported by the system, it is possible to depreciate object below its basis (resulting in negative net value). 
 

Hi Adam,

In this case, we are importing objects from another system and the object has both a negative cost and accumulated depreciation greater than cost.  Even if I were to import the net book value as the acquisition value, it is still negative.  The import function in IFS does not allow this.

I have seen where an object can be depreciated below the base value resulting in a negative net value though I’m not entirely sure how this happens.  I have tried modifying a depreciation proposal to force the net book value of an object to be negative but receive the below error when trying to authorize.

Now, I am thinking to set the asset acquisition value to zero in the subledger and record the negative excess amount at the GL level (still to be tested).  Not sure if this is the best solution.

Hi, 
Accumulated depreciation greater that depreciation basis is possible when there’s specific flag checked on depreciation method:

It can be useful if you are calculating property tax as depreciation if FA.

Hi all,

I thought I would give you an update.  I was able to import the object with a positive acquisition value and then I did a manual ‘M’ voucher against the asset account and the object ID, which did affect the subledger as the asset account is not set as a “ledger” account.  However, this affected the acquisition value for both books.  I then did another acquisition value adjustment for the US GAAP book to bring the value of the asset back to the original imported value.

I now have the correct balances in both the GL and the FA subledger for each of the books, with the IFRS book having a negative NBV.

I then ran a depreciation proposal for May for the IFRS book ID and it was empty, presumably because the NBV is negative.  I tried to select the “Below Depreciable Basis” checkbox on the depreciatin method, as Adam suggested above, but was not able to select it.  I then tried creating a new depreciation method in case the reason I was not able to select the checkbox was because the method had been used before.  This does not seem to be the case as I was not able to select the checkbox on the new depreciation method either.

Are there specific instances when the checkbox can be selected?  Appreciate the help.

Thanks,

Monique

Hi @boomonidamo 

What is the method type of your depreciation method? Below Depreciation Method is selected with Straight Line and Customized method types I believe.

Give it try one more time but I am not sure if depr. will be performed even if you have this checbox selected. It might only be used for depreciation plan. Lets try and let us know.

Thanks

Hi @gumabs ,

We are using method type RemValue/RemMonths.  You are correct, the “Below Depreciable Basis” checkbox can be selected with Straight Line and Customized method types.

I tried changing to a depreciation method with method type Straight Line where the checkbox was selected.  I then created a depreciation proposal and modified the amount to force the net book value to be negative. This worked.

However, if the base value of the asset is negative, no depreciation proposal will be created even though the checkbox is selected.

I will continue to test.

Thanks for the help!

Regards,

Monique