This guide describes the most common depreciation issues in FirstBIT Software and provides correct, system-compliant solutions.
All corrections are aligned with FirstBIT (1C-based) accounting logic and audit requirements.

General Rules for Depreciation in FirstBIT Software

Before troubleshooting, please note the following important rules:

• Depreciation is calculated only through Month-End Closing (preferable way

• Opening Balances and closed periods must not be edited

• All corrections must be performed prospectively, in the current open period

• Only standard FirstBIT documents should be used for adjustments

Errors:

1.  Issue: Excessive Accumulated Depreciation

Symptoms

• Residual value becomes zero earlier than expected

• Depreciation stops before useful life ends

Common Causes

• Month-End Closing was performed out of sequence

• Previous periods were closed incorrectly or partially

Resolution

1. Cancel Month-End Closing starting from the period where the issue began

2. Re-close periods strictly in chronological order

3. Verify depreciation values after each closing

2. Issue: Incorrect Depreciable Amount

Symptoms

• Depreciation values do not match expectations

• Remaining asset value is incorrect

Common Causes

• Incorrect logic applied when entering opening balances

• Salvage value or accumulated depreciation ignored

Correct Formula (FirstBIT Logic)

Depreciable Amount = Gross Cost – Salvage Value – Accumulated Depreciation

Resolution

• Calculate the correct depreciable amount

• Adjust it using Changes of Fixed Assets Parameters

• Do not modify accumulated depreciation

3. Issue: Editing Opening Balances or Closed Periods

Symptoms

• Inconsistent reports

• Errors during Month-End Closing

• Audit risks

Cause

• Manual corrections in historical periods

Resolution

Not Allowed:

• Editing Opening Balance documents

• Reposting closed periods

 Correct Approach:

• Adjust data only in the current open period

• Use system-approved correction documents

4. Issue: Depreciation Is Not Calculated at All

Symptoms

• No depreciation entries

• No error messages displayed

Common Cause

• Depreciation option is disabled in system settings

Resolution

Navigation:
Administration - Settings - Asset Management
Enable “Depreciation of Non-Current Assets”

5. Issue: Wrong Document Used for Corrections

Symptoms

• Corrections do not affect depreciation

• Values revert during Month-End Closing

Common Causes

• Manual journal entries used instead of system documents

• Direct register corrections

Resolution

Use only:

• Changes of Fixed Assets Parameters

• Standard Month-End Closing procedure

6. Issue: Changes Made but Depreciation Not Updated

Symptoms

• Adjustments exist but depreciation remains incorrect

Common Cause

• Month-End Closing was not re-run

Resolution

• Repost the adjustment document

• Re-run Month-End Closing in the correct order

 Best Practice Checklist

• Always define useful life
• Verify depreciable amount calculation
• Never edit opening balances
•  Correct only in open periods
• Use standard FirstBIT documents
• Close months strictly in sequence

Conclusion

Following these guidelines ensures:

• correct depreciation calculation;

• system stability;

• compliance with accounting and audit requirements.

Thank you for being FirstBIT customer!