web
You’re offline. This is a read only version of the page.
close
Skip to main content

Notifications

Announcements

No record found.

News and Announcements icon
Community site session details

Community site session details

Session Id :
Dynamics 365 Community / Forums / Finance | Project Operations, Human Resources, ... / Fixed Asset Depreciati...
Finance | Project Operations, Human Resources, ...
Answered

Fixed Asset Depreciation - First Depreciation after Acquisition = Full Value of Asset

(2) ShareShare
ReportReport
Posted on by BarryR 266
Hello All - 
 
After acquiring an asset with a posted date of 2/5/2023 and then generating my first depreciation proposal with a date of 2/28/2023 the journal has created a credit for the full value of the asset ($2,000,000). I would have expected the first depreciation to calculate at $23,810.
 
What would cause this? Where could I have gone wrong in my setups?
 
 
 
 
 
 
 
 
Configurations
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
I have the same question (0)
  • Suggested answer
    André Arnaud de Calavon Profile Picture
    André Arnaud de Cal... 300,982 Super User 2025 Season 2 on at
    Hi Barry,
     
    What amount do you have on the Fixed asset parameters in the field Capitalization threshold? If this is having a value of 2 million or higher, this would be the culprit. The Capitalization threshold field is used to fully depreciate an asset if the acquisition value is below this amount.
  • Verified answer
    BarryR Profile Picture
    BarryR 266 on at
    Andre - 
     
    Capitalization threshold is set to $1,000 on fixed asset parameters. However, the depreciation convention was set to None. Rookie mistake on my part. This post can be closed.
     
    Thanks for your reply though.
     
    Best,
    Barry
  • André Arnaud de Calavon Profile Picture
    André Arnaud de Cal... 300,982 Super User 2025 Season 2 on at
    Thanks for providing your update. I have marked your reply to set this question to the status answered.

Under review

Thank you for your reply! To ensure a great experience for everyone, your content is awaiting approval by our Community Managers. Please check back later.

Helpful resources

Quick Links

Responsible AI policies

As AI tools become more common, we’re introducing a Responsible AI Use…

Neeraj Kumar – Community Spotlight

We are honored to recognize Neeraj Kumar as our Community Spotlight honoree for…

Congratulations to the November Top 10 Community Leaders!

These are the community rock stars!

Leaderboard > Finance | Project Operations, Human Resources, AX, GP, SL

#1
Martin Dráb Profile Picture

Martin Dráb 659 Most Valuable Professional

#2
André Arnaud de Calavon Profile Picture

André Arnaud de Cal... 533 Super User 2025 Season 2

#3
Sohaib Cheema Profile Picture

Sohaib Cheema 289 User Group Leader

Last 30 days Overall leaderboard

Featured topics

End-of-life Announcement for Microsoft Dynamics GP

Product updates

Dynamics 365 release plans