Fixed Assets-Amending the Depreciation Book

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Posted on by NMC2

I would like to find out the best practise process for changing the depreciation book category on an Asset.

The FA has been linked to a depreciation book incorrectly and transactions have already occured based on the depreciation book.

Is it possible to delete or create a new depreciation book on the asset? What would be the best practise - delete or create new?
What are the repercussions of doing so?

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Ludwig Reinhard Microsoft Employee on at

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Hi NMC2,

I would simply create a new depreciation book and add it to your fixed asset.

Adding them requires that you post the previous acquisitions and depreciations.

Best regards,

Ludwig

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NMC2 95 on at

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Thank you Ludwig.

If i understand correctly, the best process is to delete the previous depreciation book and add the new one?

Would this impact transactions based on the old depreciation book - or will AX recalculate?

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Ludwig Reinhard Microsoft Employee on at

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Hi NMC2,

I would not delete the existing depreciation books. Who knows whether somebody wants to know something about this stuff in the future. I would just add new ones.

Best regards,

Ludwig

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ZvikaR 168 on at

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To add to the previous answer I would also scrap the values in the original book in order to clear all the balances created by the original book, and moving the balance into a clearing balance sheet account, from which you can draw into the new book.

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Ludwig Reinhard Microsoft Employee on at

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Hi Zvika Rimalt,

Just a note here: Depreciation books do not create vouchers and transactions. There is thus no balance to move. They are different from value models, which generate vouchers. Best regards,

Ludwig

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NMC2 95 on at

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Thank you Ludwig.

Would there be any recalculations required, based on the fact that there is a new depreciation book added?

Would you need to un-select the previous depreciation book for depreciation?

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Ludwig Reinhard Microsoft Employee on at

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Hi NMC2,

Depreciation books do not generate vouchers. They can be used in addition or as an alternative to value models.

Because no vouchers are generated, no recalculation or something alike is required. The only thing that you need to do is creating the depreciation book an add it to your fixed asset. When doing that, it will show the status 'not yet acquired'...

... and your job is then posting the acquisition and depreciations in a depreciation journal. Here is an example

Once you have recorded all Transactions, you will be able to identify the 'new' net book value for your depreciation book.

Best regards,

Ludwig

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NMC2 95 on at

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Hi Ludwig,

We have followed the process you advised.

However in acquiring and posting the journal for the new depreciation book, the value has doubled.

Should the asset be scrapped under the incorrect depreciation book before acquiring in the new book?

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Ludwig Reinhard Microsoft Employee on at

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Hi NMC2,

Have you linked your depreciation books through the derived books functionality that one can setup?

Best regards,

Ludwig

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ZvikaR 168 on at

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Apology - I missed the note about it being a Depreciation Book and not a Value Model

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