ELA: No Depr On Amended Lease Renewal Of Existing Property Lease With Reasonably Certain
(Doc ID 2611364.1)
Last updated on JULY 21, 2020
Applies to:PeopleSoft Enterprise FIN Lease Administration - Version 9.2 to 9.2 [Release 9]
Information in this document applies to any platform.
Depreciation is missing for an extended lease term. When an existing active lease is amended to add a renewal option payment (reasonably certain), once the amendment is activated and the AM depreciation calculation process is re-run, the depreciation is calculated only for the original lease term (base rent effective date period). The lease payments allocated, present value lease payments, asset ROU, etc. are all calculated correctly online.
It is expected that the depreciation will be extended to the lease term.
The issue can be reproduced at will with the following steps:
1. Add a Financial Property Lease.
2. Calculate the depreciation for the Leased Asset.
3. Enter a Renewal option to extend the lease by 1 year via amendment.
4. Calculate the depreciation for the Leased Asset. Note that the depreciation has not extended to cover the new lease term.
5. Enter a second Renewal option to extend the lease by 2 more years via amendment.
6. Calculate the depreciation for the Leased Asset. Note that the depreciation has not extended to cover the new lease term.
To view full details, sign in with your My Oracle Support account.
Don't have a My Oracle Support account? Click to get started!
In this Document