ELA: After Performing a Backdated Amendment To Add an Operating Expense Lease Payment to an Operating Lease, the Close Depreciation Process Recreates All the Prior Lease Payment (PLP) Transactions. (Doc ID 3041009.1)

Last updated on AUGUST 13, 2024

Applies to:

Symptoms

After performing a Backdated Amendment to add an Operating Expense Lease Payment to an Operating Lease, the Close Depreciation Process recreates all the Prior Lease Payment (PLP) transactions.


The issue can be reproduced at will with the following steps:

1. Create a Backdated Operating Lease With Advance Base Rent and Stepped Escalation
Example: Commencement Date: 01/01/2023 / Accounting Date: 09/01/2023 / Base Rent: 500 / Stepped Escalation: 250 on 01/01/2024
Navigation: Lease Administration > Payables Leases > Maintain Payables Lease
2. Generate the Straightline Schedule
Navigation: Lease Administration > Integrations > Generate SL Schedule
3. Run the Depreciation Calculation
Navigation: Asset Management > Depreciation > Processing > Calculate Depreciation
4. Create the Accounting Entries
Navigation: Asset Management > Accounting Entries > Create Accounting Entries
5. Run the Depreciation Close for 2023 Period 8.
Navigation: Asset Management > Accounting Entries > Close Depreciation
6. Create an Amendment and add an Advanced Operating Expense Lease Payment
Example: Accounting Date: 09/01/2023 / Transaction Date: 03/01/2023 / Operating Expense: 1000
Navigation: Lease Administration > Payables Leases > Maintain Payables Lease
7. Activate the Amendment and Run the Generate the Straightline Schedule Process
8. Run the Depreciation Close for 2023 Period 9.
9. Review the Accounting Entries
Navigation: Asset Management > Accounting Entries > Review Financial Entries

Detailed DEMO Replication Steps Attached

Cause

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