Incorrect First Month Depreciation For Assets With DPIS In Current FA Period And Daily Prorate Calendar (Doc ID 3040591.1)

Last updated on AUGUST 09, 2024

Applies to:

Symptoms

 On : 11.13.24.04.0 version, Asset Month End Processing

ACTUAL BEHAVIOR
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Oracle calculates the first month of depreciation incorrectly (usually more than what it should be) for assets added with a DPIS in the current FA period. However, subsequently periods of monthly depreciation have the correct amount. Additionally, converted assets with A/D and a DPIS in a month PRIOR to the current FA period calculate the correct monthly depreciation amounts.

EXPECTED BEHAVIOR
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For the added asset in the open period to also have the same depreciation calculation as the next periods

STEPS
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The issue can be reproduced at will with the following steps:
1. Have an asset set as below:

Asset details:
Convention : Mid Month
Prorate Date: 6/1/24
Life years 3
Method STL
In service date 6/1/24
Remaining Life 2 years 11 months
Cost: 36000

Monthly Depreciation Calendar
Prorate Calendar Daily with 365 periods defined
Convention periods 2 per month

2. Load the asset in June 2024, current open period
Cost / Life in Months = Monthly Depreciation
$36,000 / 36 = $1,000  (this is the expected monthly depreciation)

Depreciation Tab for the asset shows
Jun-24 1,035.62 *** for this month 1000 was expected ***
Jul-24 1,000.00

Cause

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