Hello, i am trying to calculate asset depreciation via Straight line method.
Here, The details i am entering in Asset and Asset Depreciation docs.
Gross Purchase Amount: 2833752.00
Purchase Date: 05-10-2021
Asset Quantity: 1
Available-for-use Date: 06-10-2021
Opening Accumulated Depreciation : 266502.00
Number of Depreciations Booked: 2
Depreciation Method: Straight Line
Total Number of Depreciations: 15
Frequency of Depreciation (Months): 12
Depreciation Posting Date: 31-03-2024
Expected Value After Useful Life: 141688.00
Depreciation Schedule:
Now The issue is that āDepreciation Amountā should be āā¹ ā¹ 1,79,470.96ā but here itās āā¹ 1,86,581.69ā
where am i doind mistake in inserting data in my Asset Form.
1 Like
i am also facing same issue. Please somebody help.
Hello @Srushti_Gosai
From what I can understand, the simple logic to calculate depreciation amount in Straight line method is :
- Depreciation Amount = Gross Purchase Amount: (2833752.00) / Total Number of Depreciations: 15
which is ā¹ 1,86,581.69
Moreover, I donāt understand your āOpening Accumulated Depreciationā, for 2 months it should be ā¹ 1,86,581.69 *2 = 3,73,163.38ā¬ , right?
I would update that value and check again the calculation.
Regards
Hello @Darshan_Patel1
There is also salvage value hereā¦so calculation should be like this:
and bout the Number of Depreciations Booked: 2
itās actually 1.5 monthsā¦but idk how to handle this case here in assetā¦
Thatās why iāve asked this question hereā¦
