Depreciation is an expense that occurs because the original cost of a
depreciable fixed asset is moved to business effects and is calculated as a
product of depreciation basis and depreciation rate. The depreciable value is
distributed among a number of periods as depreciation for that period (regarded
as expense). A company can for its own purposes define own methods of fixed
asset depreciation, depreciation rates and distribution of depreciation within
the year.
The depreciation categories defined here are assigned to fixed assets whose
depreciation is calculated and posted according to these parameters.
| Name | It
displays the name of the depreciation group (up to 200 characters). |
|
Deprec. group | It
displays the depreciation group's ID number. |
Min. rate
|
Here you can define the minimum rate of annual depreciation in %.
Depreciation is calculated from revaluated purchase price of
fixed asset. That is from the start of the first month to the
date of activation.
|
Spec. rate
|
Here you can define the rate of annual accelerated depreciation
in
%. The latter is then calculated from revaluated purchase price of fixed
asset. That is from the start of the first month following the
date of activation. It can be considered under minimum rate of
depreciation.
The minimum depreciation rate is used for fixed asset from individual
depreciation category regardless of any other settings. The
accelerated depreciation rate is used in calculation for
individual fixed asset only if you checked in the
Fixed Assets register
that accelerated depreciation rate should be used.
|
DEFAULT ACCOUNTS
That is, those for this depreciation group. When you select the ID of
depreciation category, while entering a new fixed asset, by default the
program enters data in the fields of the
Fixed Assets register osnovnih specified below. It enters account
that were set as default in the register. |
Acquisition account
| It displays the account for
posting acquisition when activating fixed asset to the debit side.l
|
| In acquisition account |
It displays the account for posting acquisition when activating fixed asset
to the credit side (the account for fixed assets before actual activation)
|
Deprec. account DR
| It displays the account for
posting purchase price depreciation of fixed asset to the debit
side (the account of group 43)
|
Deprec. account CR
|
It displays the account for posting purchase price depreciation
of fixed asset to the credit side (the account for purchase
price value adjustment)
|
Upward rev. acct. DR
| It displays the account to
which you can post debit amounts of upward revaluation (the
upward revaluation of fixed asset purchase price, account of
group 0)
|
Upward rev. acct. CR
|
It displays the account to which you can post credit amounts of
upwar revaluation (the upward revaluation of fixed asset value
adjustment, account of group 0)
|
Upward rev. acct. diff.
| It displays the account to which
you can post credit balance of the difference between upward revaluation of
purchase price and upward revaluation of value adjustment (account of group 95)
|
| Downw. rev. acct. DR | It displays
the account to which you can post debit balance of downward revaluation (the
downward revaluation of fixed asset value adjustment, account of group 0)
|
| Downw. rev. acct. CR |
It displays the account to which you can post credit amounts of downward
revaluation (the downward revaluation of fixed asset purchase price,
account of group 0)
|
| Downww. rev. acct. diff. | It
displays the account to which you can post debit balance of the difference
between upward revaluation of purchase price and downward revaluation of
value adjustment (control account 720)
|