On this tab, you can view the results of automatic calculation of depreciation amounts for the specific month.
Alternatively, you can populate this tab with fixed assets that are subjected to depreciation in the selected month by clicking the Calculate button.
Select the Manual Processing check box if you need to edit the list and the depreciation amounts.
Note. The edited document will not be automatically recalculated by the Month-End Closing assistant. So, if at the month end, the data changes, you will need to manually update the document marked for Manual Processing.
The "Fixed Asset Depreciation (create)" form
Click Add on the toolbar to append a line for a fixed asset.
In the Fixed Asset column, select a fixed asset to be depreciated in the specified month.
Make sure that the Initial Cost column shows the initial cost of the fixed asset.
The Depreciation Method column shows one of the following available depreciation methods that was assigned to the fixed asset:
- Straight Line: To calculate depreciation in equal monthly amounts during the fixed asset useful life.
- Units of Production: To calculate depreciation amounts proportionally to actual usage of the fixed asset.
The Useful Life (Months) column (available for the Straight-Line method) is populated with the number of months the fixed asset is being planned to be used.
The UOM column (available for the Units of Production method), shows the unit of measure selected for usage.
The Estimated Production Volume subcolumn is used only for assets for which the Units of Production is selected as the depreciation method. It is populated with the production volumes (usage) required for the asset full depreciation. In the Accumulated Production Volume and Current Production Volume subcolumns, the sum of production volumes accumulated over the previous periods and the current production volume measured in the specified UOM are shown respectively.
The Cost for Depreciation Calculation subcolumn is populated by default with the initial cost of the asset. If the fixed asset had been revaluated which is registered in the posted Change of Fixed Asset Parameters document, it is the cost after revaluation.
The Accumulated Depreciation subcolumn shows the sum of depreciation amounts calculated in previous periods, since the start of depreciation.
The Current Depreciation Amount subcolumn is populated with the depreciation amount calculated for the current month. If you are manually processing the document, you can edit the amount.
The Net Book Value column shows the remaining cost of the fixed asset which is the difference between the initial cost (or the cost in the Cost for Depreciation Calculation column if different) and the accumulated depreciation.
The Project/Project Task column (available if the Project Costing functionality is turned on on the Administration > Settings > Project Costing form) links this fixed asset with a project from the Projects list and if the Enable Project Tasks option is selected on the Administration > Settings > Project Costing form, links to a specific task of this project.
The Department column shows the department or warehouse to be linked to the depreciation costs and usage of this fixed asset. If you need, you can change the department.
In the Expense GL Account /Expense Item /Business Activity subcolumns, you can view the default GL expense account selected for transactions with the fixed asset, the expense item associated with this fixed asset depreciation costs, and the business activity with which this fixed asset is associated, respectively. If needed, you can change these analytics.
In the Cost Object column, you can view the cost object with which the depreciation cost is associated. You can link the depreciation cost to another cost object.
The GL Accounts column shows the default GL accounts to be used for the fixed asset depreciation.
In the Transaction Content column, provide a brief comment related to the fixed asset accepted for accounting.