What-I Analysis Does Not Start Extended Depreciation Just After Asset Is Fully Reserved (Doc ID 2101996.1)

Last updated on FEBRUARY 20, 2019

Applies to:

Symptoms

When depreciation is run in draft mode for the book but a depreciation row is rolled back for the particular asset,
What-If Analysis for Extended Depreciation is not started just after the asset is fully reserved.
This issue occurs if the following conditions are met.

• Assets are done Full Retirement in past period.
• In the problem period, depreciation have been run in draft mode, then assets have been reinstated and Calculate Gains and Losses has been run.

Steps to reproduce
1. APR-20 *** Addition

    Cost                     : 373800
    YTD depreciation         : 0
    Accumulated depreciation : 321247
    Date in Service          : 01-APR-2003
    Depreciation method      : JP-DB 20YR
    Salvage value            : 10%
    Depreciation limit       : 95%
    * Beginning of April

2. Run Depreciation & Period close

3. OCT-20 *** Full Retirement

    Date Retired          : 31-OCT-2015
    Cost retired           : 373800
    Prorate convention : Following Month

4. Run Depreciation & Period close

5. DEC-20 ** Run Depreciation WITHOUT close.
* FA_DEPRN_PERIODS.DEPRN_RUN is set to 'Y'

6. DEC-20 *** Reinstatement and run Calculate Gains and Losses
* A depreciation record of this asset is rolled back.

At this time, the book has DEPRN_RUN='Y' status but the particular asset does not have the depreciation record of current period.

7. DEC-20 *** Run What-If analysis

    Start Period                              : DEC-20
    Number of Periods                     : 120
    Analyzed Fully Reserved Asset    : Yes
    Calculate Extended Depreciation : Yes

Current Behavior
Extended depreciation is not started just after the asset is fully reserved.

Period  Fiscal  New
Name    Year    Depreciation Depreciation
------- ------- ------------ ------------
FEB-28  2028    190+         190+
MAR-28  2028    98+          98+    * The asset is fully reserved.
APR-29  2029    0+           0+     * Should be start from this period
MAY-29  2029    0+           0+
JUN-29  2029    0+           0+
JUL-29  2029    0+           0+
AUG-29  2029    0+           0+
SEP-29  2029    0+           0+
OCT-29  2029    0+           0+
NOV-29  2029    0+           0+
DEC-29  2029    0+           0+
JAN-29  2029    0+           0+
FEB-29  2029    0+           0+
MAR-29  2029    0+           0+
APR-30  2030    311+         311+   * This is extended depreciation
MAY-30  2030    311+         311+   * This is extended depreciation

Expected Behavior
Extended depreciation is started just after the asset is fully reserved.

Period  Fiscal  New
Name    Year    Depreciation Depreciation
------- ------- ------------ ------------
FEB-28  2028    190+         190+
MAR-28  2028    98+          98+    * The asset is fully reserved.
APR-29  2029    311+         311+   * This is extended depreciation
MAY-29  2029    311+         311+
JUN-29  2029    311+         311+
JUL-29  2029    311+         311+
AUG-29  2029    311+         311+
SEP-29  2029    311+         311+
OCT-29  2029    311+         311+
NOV-29  2029    311+         311+
DEC-29  2029    311+         311+
JAN-29  2029    311+         311+
FEB-29  2029    311+         311+
MAR-29  2029    318+         318+
APR-30  2030    311+         311+
MAY-30  2030    311+         311+

Cause

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