Create Extraordinary Depreciation

This procedure is used to create extraordinary depreciation for fixed assets. This is used when the value of a fixed asset has changed as a result of extraordinary circumstances, such as, for example, a fire.

Outcome

The extraordinary depreciation is entered and the general ledger is updated with the account entries created. A journal with the entries is created. Also, the value type for extraordinary depreciation for the fixed asset is updated.

Before you start

  • An extraordinary event must occur.
  • Configuring Depreciation of Fixed Assets must be performed, including settings in 'Settings - Extraordinary Depreciation' (FAS920).
  • Accounting rules must be defined for accounting event FA30 (Extraordinary depreciation) in 'Accounting Rule. Set' (CRS395).

Follow these steps

  1. Start 'FA Depreciation. Create Extraordinary' (FAS140/B).

  2. On the E panel, specify the fixed asset to depreciate, including the fixed asset subnumber.

  3. Specify the depreciation type defined for the fixed asset and the report text. Press Enter.

  4. On the F panel, review the information displayed and specify the amount of the extraordinary depreciation and how the depreciation should continue when the extraordinary depreciation has been made (the 'Method after extraordinary depreciation' field).

  5. Specify the accounting date and voucher text. Press Enter.