Monthly Depreciation Calculation

OBJECTIVE

The Monthly Depreciation Calculation function is used to calculate monthly depreciation amounts for depreciable assets according to the information entered in the Depreciation Book. It updates depreciation costs by asset through a project-to-project transfer transaction either to the project or general ledger, based on the settings specified.

 

PREREQUISITE

• Depreciation Book

 

Steps

maestro* > Accounting > Financial Management > Depreciation > Monthly Depreciation Calculation

 

Calculate monthly depreciation

1. Select the Period.
2. Select a Category, if desired.
3. Click the Recalculate Table icon to have the system display the depreciation amounts calculated.

Field	Description
Type	Available values: 0 Equipment 1 Other
Number	Number of the depreciable asset.
Description	Description that identifies the asset.
Category	Depreciation category from Define Categories.
Group	Depreciation group from Define Depreciation Groups.
Status	Depreciation status from Define Status Codes.
Calc Code	Code from Define Depreciation Rates.
Description	Description of the Calculation Code.
Mode	Method for calculating the depreciation from Define Depreciation Rates.
Max %	Maximum amount to be depreciated from Define Depreciation Rates.
No of Hrs	Number of hours if the method is Hourly in Define Depreciation Rates. NOTE: The number of hours is from the Enter a production transaction entered in the project corresponding to the unit to be depreciated. When it is inappropriate to include all production transactions, you can restrict the transactions included by specifying a group code in configuration of the general ledger, Depreciation section. In this case, only the transactions entered in the specified group will be read and used to determine the number of hours to be depreciated. If no group is specified in configuration, all of the production transactions entered for the project will be used to calculate the hours to be depreciated.
Asset Opening Bal	Balance to be depreciated at the beginning of the year.
Additions of Yr.	Amount of acquisitions during the year that affect the asset.
Disposals of Yr.	Amount of disposals during the year that affect the asset.
Current Asset Balance	Depreciated balance of the disbursement for the year, plus the acquisitions during the year, less the disposals during the year, or (Asset Opening Bal + Additions of Yr.) - Disposals of Yr..
Opening Depr.	Amount to be depreciated at the beginning of the year.
Depr. for the Year	Anticipated depreciation amount for the year based on the depreciation type selected.
Current Accum Depr Bal.	Accumulated depreciation at the beginning of the year, plus the accumulated depreciation on acquisitions during the year, less the accumulated depreciation on disposals during the year, plus the depreciation calculated for the current year in preceding periods.
Balance to Depr.	Balance of the amount to be depreciated.
Rate/No of Yrs	Rate at which the asset is depreciated or number of years during which the asset is depreciated.
No. of Per.	Number of anticipated periods.
Accum Depr Prev Per.	Cumulative amount from this year depreciated during the preceding period.
Current Per. Depr.	Amount from this year depreciated during the preceding period.
YTD Depr.	Amount depreciated since the beginning of the year.
Valid	Indicates whether or not the transaction is valid to generate the transaction.
Explanations	Reason the transaction is invalid.
Exp. GL	General ledger account for depreciation expenses. Expense account.
Exp. Project	Projects linked to the expense. Project in which the expenses are accumulated.
Exp. Activity	Activity in which depreciation expenses are grouped.
Expense Group	Group in which depreciation expenses are grouped.
AccumDepr GL	General ledger account for accumulated depreciation. Asset account.
Accum Depr Proj.	Projects linked to the accumulated depreciation. Balance sheet.
Accum Depr Actv.	Activity in which accumulated depreciation is grouped.
Acc.Depr Group	Group in which accumulated depreciation is grouped.
Location	Where the item can be found on the site.
Jobs with Revenues	Indicates that the project on which the item is located has generated revenue during the month, if the box is checked. NOTE: This field is linked to the Define Categories function. NOTE: This field is only available if the Equipment module is installed.
Item Completely Depreciated	Indicates that the item has been completely depreciated, if the box is checked. NOTE: This field is linked to the Define Categories function. NOTE: This field is only available if the Equipment module is installed.
Substitution	Item substituted for the completely depreciated item if the project generated revenue during the month. NOTE: This field is linked to the Define Categories function.
Do Not Depreciate	Indicates that depreciation has not been calculated, if the box is checked.

4. Click Save.
5. Click Transfer to generate the final transactions.

 

See also

• Yearly Depreciation Calculation
• Configuration

 

Last modification: September 20, 2024