Straight Line - Half Year Depreciation Method

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Posted on by Deborah Bergman

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My client is using this method for all assets - and wants to know the monthly impact it has in GP for processing the actual depreciation journal entry. If they purchase an item for $12000 with a 3 year life - we know the the first year is 12000/3/2 or $2000 for the first year, then 4000 in the next 2 years and 2000 for the final year. How does GP handle the monthly depreciation recording?

Lets say they purchase an asset in March for a YE of June 30. Would the monthly be March 500, April 500, May 500, June 500? Or would it all be computed in March 2000? We need to know for forecasting purposes.

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Michael Marinaro 9 on at

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Hi Deborah,

For forecasting purposes, you should run a projection in the fixed assets module. This will give you the period and the forecasted depreciation amount.

Let me know if you need more details on how to run a projection.

Thanks,

Mike

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