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Change in Depreciation method

Former Member
0 Kudos

Hi,

As per the recent changes in the Companies Act, we have to changes depreciation method in SAP. In this regards I need your suggestions. First of all I explain you the new method of depreciation prescribed in Companies Act. As per the new method they define useful life of the asset instead of the rates. Now we have to depreciate 95% of the assets value in useful life given in act. Now the formula should be as below:

(WDV of assets as on 1.4.2014 minus 5% of the original value of assets)/(useful life given in new act minus already used period)

If we follow the above formula then we have to make change depreciation method for each assets. So please examine the above requirment and let us know, how we can implemented the above changes in SAP.

Regards,

Thirusenthil Kumar.L

Accepted Solutions (0)

Answers (1)

Answers (1)

caram
Participant
0 Kudos

Hi Thiru,

You need to chgange the depreciation key. And maintain the 5% as cutoff value thru Tcode ANHAL and assign the same to your depreciation key in AFAMA.

Please let me know if you need any further assitance.

Thanks,

SRD