Fixed asset - wrong fixed asset depreciation calculation

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Posted on by Antonio Savastano

Hello community,
I come to you for help with a question concerning the depreciation of fixed assets in D365.

The asset I will use is this, it is a building. For the purposes of my testing, I am only launching the depreciation calculation on the /operationsù/ book, which for my user is marked /_G/.

TRANSACTIONS (BELOW)

I'll start by saying that the affected freshmen were migrated from ax 2012 to D365 on 2/28/2023 and, therefore, in the transaction screens the value of the transactions are based on 12/31/2022.

DEPRECIATION PROFILE

A manual depreciation profile (very similar to the straight-line depreciation profile) was used for the simple reason that the user had first decided to do his own calculation, and now that he has switched to D365 he wants to reconnect with the new logic without changing the old quotas already depreciated (which are the ones you see in the transactions above)

And now we come to the calculation of amortization for the year 2023.

As you may notice, the system enters an amount of 120, but this is actually wrong!

Since the acquisition price is 1032, and the service life is 34 years, I would expect a value of about 30.
What do you guys think?

Thanks in advance

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Suggested answer

BillurSamdancioglu 19,856 Most Valuable Professional on at

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Hi,

Can you please try with to select the migrated asset field on the general tab.

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Suggested answer

Hana Xue Microsoft Employee on at

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Hi,
As Billur said, you can try to set Migrated asset to Yes. Adding this field to prevent auto-update of placed in service date after initial acquisition of migrated asset. The documentation mentions that the feature ensures that the defined placed in-service date of the migrated assets from the legacy system will not be updated automatically after posting the acquisition transaction if the migrated asset option is set to Yes. Set Migrated asset to Yes if you are migrating fixed assets from the legacy system to Dynamics 365 Finance in the initial data migration.
For more details, you can view the link below:
What's new or changed in Dynamics 365 Finance 10.0.26 (May 2022) - Finance | Dynamics 365 | Microsoft Learn
www.linkedin.com
Best Regards,
Hana

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Antonio Savastano 27 on at

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Hi Hana Xue and Billur,

I wanted to tell you that I cannot put the "Migrated asset" flag as it is not editable. I probably misspoke, these asset matrices are not "migrated" via standard procedure (I found this work already done so I couldn't tell you why cpon precision.
In any case, I think I have discovered the cause of the problem. I will show you.

I noticed that although a depreciation profile is associated with the book, if I click on the "Profile" section, I do not find the calculation performed by the system. In your opinion qaule could be the cause?
I have tried reloading all the profiles via data management, but nothing happens. The only way I found to be able to get the system to do the calculation was to remove the amortization profile and re-enter it; at the same time I updated the date when depreciation was last run and did "save," I click on "Profile" again and notice that the system generates the amortization schedule for me.

Is there an automatic method to have it reloaded without having to necessarily change the date of the last depreciation by hand and having to re-enter the depreciation profile?

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Verified answer

Ankit Life 681 on at

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Hi Antonio Savastano,

I can see in your asset book profile, the Depreciation run date is missing.

Try create another same scenario.

1. Give the Depreciation run date as well.
2. Run depreciation proposal without summarize, it will show you each month depreciation amount, which will help to analyse better.
3. The values will be calculated based on the depreciation profile selected which is manual and not as per SL profile.

Regards,

Ankit

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