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Yes vidhyadhar, your right and even that the same I explained to the client, but he want that the system has to calculate on 100% and not only on 95%.
Any configuration I need to change?
regards,
| | | ---------------Original Message---------------
From: VidhyaDhar
Sent: Monday, March 14, 2011 6:31 AM
Subject: Asset Dep value after Scrap deduction
Hi
What was the reason for your defining a cut-off key, If I may ask?
The very idea of using a cutoff key with 5% scrap value is to depreciate the
asset upto 95 % only ( If you acquired the asset for 100 INR and estimate
that the resultant scrap to be 5 INR, then it is wiser to depreciate the
usable value of the asset only viz. 95 INR).
This means that out of an asset acquired for 100 INR , the residual scrap (
non-depreciable ) is 5 INR and the depreciable amount would be 95 INR only.
If you want 100 INR to be depreciated in full, then it would be better not
use a cut off key.
Regards
VidhyaDhar |
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