European averaging conventionsThese are the types of averaging conventions used by Infor LN to determine the asset's recovery period, as standard in the European region: None The start date of depreciation is equal to the in-service date. Mid-month The start date of depreciation is calculated as the midpoint of the month in which the asset is placed in service. Mid-quarter The start date of depreciation is calculated as the midpoint of the quarter in which the asset is placed in service. Half year The start date of depreciation is calculated as the midpoint of the fiscal year in which the asset is placed in service. Modified half-year The start date of depreciation is calculated as the first day of the actual (following) fiscal year in which the asset is placed in service if the in-service date is in the first (second) half of a fiscal year. Period in service The start date of depreciation is calculated as the first day of the fiscal period in which the asset is placed in service. Example If you are using monthly periods and the in-service date is December 12, 2002, then the start date is December 1, 2002. First day in-service year The start date of depreciation is calculated as the first day of the fiscal year in which the asset is placed in service. Example If you are using monthly periods and the in-service date is December 12, 2002, then the start date is January 1, 2002. Day after in-service year The start date of depreciation is calculated as the first day following the end of the fiscal year in which the asset is placed in service. Example If the fiscal year ends June 30, 1998 and the in-service date is July 1, 2001, then the start date is July 1, 2002. Period after in-service date The start date of depreciation is calculated as the first day following the end of the fiscal period in which the asset is placed in service. Example An asset with a three-year life is placed in service on March 11, 2001. LN uses April, 2002 as the beginning of the recovery period. First/second half of year The start date of depreciation is calculated as the first day of the fiscal year (second half of the fiscal year) in which the asset is placed in service if the in-service date is in the first (second) half of a fiscal year. Second half of in-service year The start date of depreciation is calculated as the first day of the second half of the fiscal year in which the asset is placed in service. The end date of depreciation is calculated as the start date of depreciation plus the life of the asset minus one day.
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