STL: Depreciation Amount Is Changed When Adding Bonus Rule with 0% Using Amortized After Unplanned Depreciation (Doc ID 2395365.1)

Last updated on MARCH 14, 2023

Applies to:

Goal

When adding a Bonus Rule with 0% using Amortized to an asset with STL after posting unplanned depreciation, system depreciation amount is changed.
The system depreciation amount should NOT be changed because the Bonus Rule is 0% and it has no impact for depreciation calculation.


Steps to Reproduce

1.  2017-04 *** Addition

    Cost                       : 1000000
    YTD depreciation           : 0
    Accumulated depreciation   : 0
    Date in Service            : 01-APR-2017
    Depreciation method        : STL 15 Year
    Salvage value              :
    Depreciation limit amount  :


2.  2017-05 *** Unplanned Depreciation with expensed

     Amortize From Current Period  : No
     Unplanned Depreciation amount : 7000


3.  2017-06 *** Add a bonus rule with 0% using amortized

    Bonus Rule              : 0% bonus rule
    Amortized flag          : Yes
    Amortization start date : 30-JUN-2017


4.  2017-06 *** Run Depreciation WITHOUT closing the period (= temporary close)

    FA_BOOKS
    COST     ADJUSTED_COST  DEPRN_METHOD  LIFE_IN_MONTHS  SALVAGE_VALUE  RATE_ADJUSTMENT_FACTOR
    -------  -------------  ------------  --------------  -------------  ----------------------
    1000000        1000000  STL                      180              0                       1
    1000000        1000000  STL                      180              0                       1
    1000000         981888  STL                      180              0                 0.98889

    FA_DEPRN_SUMMARY
    PERIOD  DEPRN_AMOUNT  YTD_DEPRN  DEPRN_RESERVE  ADJUSTED_COST  SYSTEM_DEPRN_AMOUNT
    ------  ------------  ---------  -------------  -------------  -------------------
    MAR-16             0          0              0        1000000                     
    APR-17          5556       5556           5556        1000000                 5556
    MAY-17         12556      18112          18112        1000000                 5556
    JUN-17          5516      23628          23628         981888                 5516

    --> SYSTEM_DEPRN_AMOUNT in JUN-17 should be 5556, instead of 5516.

Solution

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