Accumulated depreciation is smaller than expenditure
Depreciation following December 31st, 2007:
Fixed asset's cost is €10,000; and the adjustment €5,000.
Post-processing value is less than the adjusted value
Post-processing value which prolongs the fixed asset's useful life equals €3,000 (current adjustment equals €5,000).
Posting invoice received for post-processing fixed asset:
| Account |
Debit |
Credit |
| 0470 |
3.000 |
|
| 2200 |
|
3.600 |
| 1600 |
600 |
|
| Balance |
3.600 |
3.600 |
Set type 3 and perform posting:
Cost +€0, adjustment -€3,000
the difference between the old and new cost equals 0; on the other hand, the difference between the old and new adjustment is: -€3,000 (0500C -€3,000 (reversal), 047C €3,000)
| Account |
Debit |
Credit |
| 0470 |
|
3.000 |
| 0500 |
|
-3.000 |
| Balance |
0 |
0 |
Related topics:
For a general description of functions see: