anurudh
Active Member
We recently ended an 8 month transition period so that we could change our fiscal year end dates from 4/30 to 12/31. As a result we need to run depreciation for period 1of 2007 while skipping periods 9-12 of 2006.
After the close of our first period in 2007, we tried to run depreciation for Period 1 of 2007, effectively skipping periods 9-12, but the calculation provided by the system was incorrect. Instead of returning the same depreciation calculation as the previous month, December, it seemed to return a calculation using a shortened remaining depreciable life. For example:
An asset was placed in service in December that was set up to depreciate over 5 years or 60 months for $1,035.81 of depreciation per month. When we run depreciation for January the depreciation amount calculated is $2,131.94. The system is taking the remaining undepreciated balance and depreciating it over 56 months instead of 60. The system thinks that we just did not depreciate those assets for four months (periods 9-12).
FYI, we changed the 06 date pattern to end period 8/9/10/11/12 to end on the same date (i.e. 12/31/06) and 07 year starts from Jan 07 (period 01) and end on 12/31/07.
Thanks in advance,
After the close of our first period in 2007, we tried to run depreciation for Period 1 of 2007, effectively skipping periods 9-12, but the calculation provided by the system was incorrect. Instead of returning the same depreciation calculation as the previous month, December, it seemed to return a calculation using a shortened remaining depreciable life. For example:
An asset was placed in service in December that was set up to depreciate over 5 years or 60 months for $1,035.81 of depreciation per month. When we run depreciation for January the depreciation amount calculated is $2,131.94. The system is taking the remaining undepreciated balance and depreciating it over 56 months instead of 60. The system thinks that we just did not depreciate those assets for four months (periods 9-12).
FYI, we changed the 06 date pattern to end period 8/9/10/11/12 to end on the same date (i.e. 12/31/06) and 07 year starts from Jan 07 (period 01) and end on 12/31/07.
Thanks in advance,
