Depreciation Frequencies (tffam7100m000)

Use this session to maintain depreciation frequencies. Depreciation frequencies identify when depreciation must be run and recorded for assets and their related books. LN applies the defaults to all the books related to an asset during asset entry and checks the frequencies each time you run depreciation.

The first frequency added will automatically be selected as the default. If you select another frequency as the default, the previously selected default will be de-selected. You cannot delete the default frequency. You cannot delete depreciation frequencies if they are in use by an asset. You can delete one or multiple depreciation frequencies that are not in use.

Depreciation frequencies are calendar dependent. A calendar is defined in the Periods (tfgld0105m000) session. Calendars with an odd number of periods support only Periodic and Annual recording frequencies. Calendars with an even number of periods support Periodic, Semiannual, and Annual recording frequencies. Calendars with a number of periods evenly divisible by four support all frequencies.

Depreciation frequencies also indicate which periods, if any, are suspended for an asset and its related books. When a period is suspended, LN does not accumulate depreciation for any assets and their related books in that period.

During depreciation, LN looks at the last depreciated date for the asset books and compares this to the frequency to determine if depreciation needs to be recorded in the selected periods, and if depreciation needs to be suspended in the selected periods.

Note: Assets subject to ADR and MACRS group depreciation are not subject to suspended periods when they depreciate. LN depreciates each period for these assets even if the frequency indicates the period is suspended.

Field Information

Depreciation Frequency: Indicates the depreciation frequency. Depreciation frequencies identify when depreciation must be run and recorded for assets and their related books.
Description: The description or name of the code.
Recording Frequency: Indicates when depreciation must be recorded every period. The recording frequency must be supported by the selected calendar. This means that you must be able to evenly divide the number of periods in the selected calendar by the recording frequency.