Add Asset Form Depreciation Tab

Note: In order to view this tab, the role of the logged-in user must include the Depreciation feature and Depreciation must be ON for the default division.

Depreciation information for the asset is entered at the Depreciation tab. Click the Depreciation tab to bring this tab to the front.

Depreciation Tab Notes

• To reach this tab, the asset must be associated with an item number in the Asset tab.
• To calculate depreciation for an asset, specific information must be entered for the asset. The system-wide depreciation information automatically entered in the Depreciation tab includes:
• Depreciation Class: depreciation class information is associated with the asset-type item that the asset is associated with.
• Depreciation Method: this information comes from the depreciation class which the asset is associated with (see "Depreciation Classes"). It is the formula used to calculate an asset’s depreciation (see "Depreciation Overview"). Depreciation methods include:
  • 200% (Double Declining) Balance
  • 150% Declining Balance
  • Straight Line
  • Sum of the Years Digits
  • Manual
• Life: the usable life of the asset is pulled from the depreciation class which the asset is tied to.
• Partial Month Convention: the partial month convention used for asset depreciation is a division level setting (see "Division Asset Options"). It is set for the division in the Division form\Assets tab.
• Fiscal Year Ends: the end of the fiscal year is a division level setting (see "Division Asset Options"). It is set for the division in the Division form\Assets tab. It is the Depreciation Through month from which depreciation is calculated for an asset.

• Calculate icon: Press this icon to calculate the current month, depreciation through, total depreciation, and asset value for the asset. For more information about asset depreciation see "Calculating Depreciation".
• Total Depreciation: the total depreciation of the asset is automatically entered by the system after depreciation is calculated. It is based on the asset in-service date, the partial month convention, depreciation method, and current date.
• Current Depreciation: the current depreciation of the asset is automatically entered by the system after depreciation is calculated. It is the depreciation amount to the date that asset depreciation was calculated.
• Asset Value: value of the asset at the end of the current fiscal year. It is entered in the system after depreciation is calculated.
• Depreciation Through: after depreciation is calculated, the depreciation through date is entered by the system. It is based on the partial month convention for the division.

Additional Depreciation Information

In order to calculate the depreciation for the asset, you must also enter the asset’s:

• Purchase Date: entered in the Assets form\Warranty tab
• Purchase Cost: entered in the Assets form\Warranty tab

• In Service Date: entered in the Assets form\Depreciation tab. The date the asset is placed into service. Click the drop-down arrow and select the date the asset was placed into service from the calendar control that appears. This is the beginning date for asset depreciation.