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ELA: Allocated Lease Payment and Undiscounted ROU Asset Increases Even Though There Are No Changes to ROU (Right of Use) When Completing a Non Remeasurement. (Doc ID 2813632.1)

Last updated on OCTOBER 12, 2021

Applies to:

PeopleSoft Enterprise FIN Lease Administration - Version 9.2 to 9.2 [Release 9]
Information in this document applies to any platform.

Symptoms

Allocated Lease Payment and Undiscounted ROU Asset increases even though there are no changes to ROU (Right of Use) when completing a Non Remeasurement.

Replication Steps:

  1. Create a new lease for Equipment.
  2. Add Department to Cost Distribution and also add Financial Terms and borrowing rate.
  3. Add Base Rent with 1 Escalation.
  4. Allocate Costs as Percent.
  5. Classify Lease and select Reviewed Checkbox.
  6. Save, validate, activate lease.
  7. Generate Straightline Schedule.
  8. Run AM_DEPR_CALC, Create Accounting Entries, Run DPClose for asset created and bring to current.
  9. Query RE_LS_PPTY for CURRENT_LS_PAYMENT, shows zero.
  10. Create Amendment with Remeasurement.
  11. Financial Terms, enter accounting/transaction date(s) and Borrowing Rate.
  12. Save and activate Amendment.
  13. Query RE_LS_PPTY, noting the CURRENT_LS_PAYMENT is $1K and was zero prior to Amendment.
  14. Generate Straightline Schedule.
  15. Run AM_DEPR_CALC, Run create Accounting Entries, Run Close Depreciation.
  16. Create another Amendment – Non-Remeasurement.
  17. Enter Accounting and Transaction dates—then Save.
  18. Return to General Information, Cost tab – noting Current Lease Payment is $1K.
  19. After Activating Amendment, return to General Information > Cost tab: Lease Payment and Undiscounted ROU Asset increased by $1K even though the Base Rent amount was not changed.

Replication Screenshots

Cause

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In this Document
Symptoms
Cause
Solution
References


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