Capital Threshold and Low Value Asset Threshold are Applying only to the Item Cost and not Full Merged Cost (Doc ID 2859586.1)

Last updated on AUGUST 26, 2024

Applies to:

Symptoms

Capitalization Threshold and Low Value Asset Threshold are applying only to the Item cost and not the full / merged cost.


Example:
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1. Setup Capital Threshold at Book to $25K
2. Add Asset via Accounts Payable interface where Item Cost is < $25K but sum of merged lines for added Tax and Freight bring total cost > $25K
3. Threshold is only considering ITEM cost for evaluation and thus these asset are expensed.
  Expect Assets to be capitalized

Changes

Cause

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