Asset Depreciation Adjustment

Assets > Transaction Processing > Asset Depreciation Adjustment

Asset Depreciation Adjustment

You use this program to adjust the accumulated depreciation for any depreciation book defined against an asset.

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Field

Description

Asset

Indicate the asset for which to process depreciation adjustments.

Post

Select this to process the adjustment to the asset and to the General Ledger distribution file.

The following fields against the asset's value are affected by the amount you entered:

Depreciation this year is adjusted by the amount.
Current value is adjusted by the amount.
The depreciation amount for the period you select (i.e. Current, Previous 1 or Previous 2) is adjusted by the amount.

If you adjusted your Book value depreciation book and your Assets Register module is integrated to the General Ledger (General Ledger Integration) then General Ledger entries are created as follows:

If the adjustment amount is positive:

Dr	Depreciation Expense	Amount of adjustment
Cr	Accumulated Depreciation	Amount of adjustment

If the adjustment amount is negative:

Cr	Depreciation Expense	Amount of adjustment
Dr	Accumulated Depreciation	Amount of adjustment

Depreciation Adjustment

Field	Description
Adjustment information
Asset	This indicates the code of the asset for which you are processing the depreciation adjustments.
Description	This indicates the description of the asset.
Asset value	This indicates the cost of the asset when it was initially acquired.
Asset quantity	This indicates the current quantity of the asset.
Adjustment date	You use this field to indicate the adjustment date. This defaults to the current Assets module period end date, but can be changed.
Adjustment period	Indicate the financial period for the adjustment. This does not apply when your number of Accounting periods per year is set to 12 (Company Setup) as the system calculates it from the Adjustment date entered. However, when your number of accounting periods per year is set to 13, you must enter the purchase period as the system cannot calculate it based on the Adjustment date. The Adjustment period together with the Adjustment year govern the date manipulations, so you need to ensure that these are correct. The current assets period is indicated in the Assets Setup program. You can enter the Current, Previous 1 or Previous 2 period, however the period you select must be Open (Assets Setup).
Adjustment year	You use this field to indicate the financial year in for the adjustment. This does not apply when your number of Accounting periods per year is set to 12 (Company Setup) as the system calculates it from the Adjustment date entered. You must enter the purchase year when your number of accounting periods per year is set to 13, as the system cannot calculate it based on the Adjustment date. The Adjustment period together with the Adjustment year govern the date manipulations, so you need to ensure that these are correct. The current assets period is indicated in the Assets Setup program.
Comment	This field enables you to enter free format comments relating to the adjustment. For example, the reason for the adjustment.

Depreciation Adjustment Details

You use this editable listview to enter the details of the adjustments.

Field	Description
Book	Indicates the depreciation books currently available for adjustment. Only depreciation books with a Basis for depreciation of Period or Year (Assets Register Setup) are included.
Adjustment this year depreciation	Enter the depreciation adjustment amount you want to apply to the current year. This can be either a positive or negative amount. This can only be entered if the Basis for depreciation is Period (Assets Register Setup).
Adjustment accumulated depreciation	Enter the depreciation adjustment amount you want to apply to the accumulated depreciation. This can be either a positive or negative amount.
Cost/cash price	Indicates the current cost value of the asset. This is changed by acquisitions processed (see Asset Acquisition).
This year depreciation	Indicates the amount of depreciation processed against the asset for the current year to date in the depreciation book.
Accumulated depreciation	Indicates the current accumulated depreciation for the asset in the depreciation book.
Current value	Indicates the current value of the asset in the depreciation book. This is calculated as: `Cost/cash price less Accumulated Depreciation`.

Notes and warnings

Restrictions and limits

Depreciation adjustments can only be processed for the current financial year.
Depreciation adjustments can only be processed for depreciation books with a Basis for depreciation of Period or Year (Assets Register Setup).
Depreciation adjustments cannot be posted to an Asset Register period that is closed (see Assets Setup ).

GL Analysis considerations

If the GL analysis required option is enabled for a ledger account used in this program (General Ledger Codes or GL Structure Definition) then the Capture GL Analysis Entries program is displayed when you post the transaction, so that you can enter the analysis details. For a sub module transaction, the sub module must also be linked to the General Ledger in Detail at company level (General Ledger Integration) or at ledger account code level (General Ledger Codes or GL Structure Definition). GL analysis entries cannot be entered from sub modules if the sub module is linked to the General Ledger in Summary at company level or at ledger account code level.

Note that the GL analysis required option is ignored for all GL codes which are defined in General Ledger Integration. This applies even when the GL code is manually entered in a posting program. Although GL integration programs may be entered manually, they may also be called automatically by other programs or may be automated, which means that they can never be stopped to allow GL analysis entries to be captured.

If the GL analysis code used does not exist in the GenAnalysisCat table, then a message to this effect is displayed and the program will not prompt for analysis again. The GL journal will be created but not posted until the GL code, GL analysis code and GL journal are corrected.

The Ask Me Later function is only available when the option: Force GL Analysis - GL journal posting is enabled for the sub-module (General Ledger Integration).

General Ledger analysis entries are always distributed in the local currency, regardless of the currency in which the original transaction is processed.

eSignature considerations

Electronic Signatures provide security access, transaction logging and event triggering. This enables you to increase control over your system changes.

Access to the following eSignature transactions within this program can be restricted at Operator, Group, Role or Company level. You configure this using the eSignature Setup program.

eSignature Transaction	Description
Asset Depreciation adjusted	Controls access to the Asset Depreciation Adjustment program.

Inserting Application Help

You would typically follow this procedure to display help for the current program in a customized pane that can be pinned to the program window.

Information includes step-by-step instructions for the various functions available within the program, including a brief overview of what the program does, what setup options are required and how to personalize the program.

Open the program for which you want to insert application help into a customized pane.

This functionality is only available for a program that has panes.
Right-click any form field.

You can also click the triangle menu icon that appears in the title area of a pane.
Select Insert Application Help from the context-sensitive menu.

The application help appears in a pane within your program. You can reposition the pane using the docking stickers or pin it to the program window.

Removing the Application Help pane

If you no longer want to display application help in a pane for your current program, you can simply remove it.

Select the Close icon in the right-hand corner of the application help pane.
Confirm that you want to delete the pane.