Enter asset depreciation data for assets, systems, and positions on the Depreciation page of the Equipment form (OMOBJC). The information you enter varies depending on the type of depreciation you are using.
Datastream 7i enables you to create and maintain multiple depreciation schedules for a single piece of equipment by specifying a different Depreciation type for each additional depreciation schedule. To create additional depreciation schedules for a piece of equipment, insert a new record on the Depreciation tab of the Equipment form (OMOBJC), and then select a new Depreciation type. The Commission date, Sold/scrapped date, and the fiscal years information upon which depreciation data is calculated for a piece of equipment remain the same for each depreciation schedule. However, the rest of the depreciation data can be completely different for each depreciation schedule.
Datastream 7i saves depreciation data and calculations in the R5OBJECDEPRECIATION table. When you save a new or updated depreciation type record, Datastream 7i recalculates all of the depreciation information for the equipment based on any updated depreciation data you entered for the new depreciation type, populates the lower portion of the form with the updated calculations, and then overwrites the previous depreciation data for the equipment in the R5OBJECDEPRECIATION table.
Also, Datastream 7i automatically recalculates values for an equipment record whenever you update the Original value, the Estimated useful life, the unit of measure, the Residual value, the Commission date, the Transfer date, or the Sold/scrapped date.
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You can also manually initiate the recalculation of depreciation values for all of the equipment records in an organization for which you have defined fiscal years and depreciation data by clicking Recalculate depreciation data on the Fiscal years page of the Organizations form (BMORGS). |
If you are using the straight line, sum of years digits, or double declining balance method and you enter a Sold/scrapped date for an asset, Datastream 7i only displays depreciation data from the Commission date of the asset through the specified Sold/scrapped date. Datastream 7i does not display any fiscal year periods or data for any of the periods for which the Start date is after the Sold/scrapped date. Datastream 7i calculates the Depreciation expense and Book value for the period in which the asset reaches its Sold/scrapped date through the Sold/scrapped date, and the values will remain indefinitely and will not change over time.
After the Sold/scrapped date passes, Datastream 7i displays the actual expense incurred from the period Start date through the Sold/scrapped date as the Depreciation expense (PTD). However, once the period in which the asset reaches its Sold/scrapped date is over, Datastream 7i displays zero as the value of the Depreciation expense (PTD).
After the Sold/scrapped date passes, Datastream 7i continues to display the actual depreciation expense incurred from Commission date through the Sold/scrapped date as the Depreciation expense (to date).
After the Sold/scrapped date passes, Datastream 7i displays zero as the value of the Book value (to date) because the asset is either sold or scrapped and should no longer be carried on the books.
Follow these steps to enter asset depreciation data.
Open the Equipment form (OMOBJC).
Query for the equipment for which to enter asset depreciation data.
Click the Depreciation tab. Datastream 7i displays the Depreciation page.
Depreciation type—Select the depreciation type for the depreciation schedule. Depreciation types belong to the DETP entity. You must define your depreciation type codes.
Datastream 7i displays the number of depreciation type records that exist for the equipment in the space adjacent to the Depreciation type field. The first number indicates which depreciation type record you have selected, and the second number indicates the total number of depreciation type records that exist for the equipment. For example, the number "2 / 3" indicates that three depreciation records exist for the selected equipment and you are viewing the second record of the three.
Original value—Enter the original value of the asset.
Estimated useful life—Enter the estimated useful life of the asset, and then choose one of the following options to specify the unit of measure for the period of time in the adjacent field:
Days—Select to indicate that the estimated useful life is in days.
Weeks—Select to indicate that the estimated useful life is in weeks.
Months—Select to indicate that the estimated useful life is in months.
Quarters—Select to indicate that the estimated useful life is in quarters.
Years—Select to indicate that the estimated useful life is in years.
Datastream 7i calculates a daily depreciation expense regardless of the unit of measure you select.
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If you select Days or Months, you can only enter a positive integer for Estimated useful life. You can enter fractional values for Estimated useful life if you select Weeks, Months, or Quarters as the unit of measure. If you select Weeks, Datastream 7i multiplies the value entered for Estimated useful life by 7 to determine the equivalent number of days. For example, 1 week is equal to 7 days, 0.7 is equivalent to 1 day. If you select Quarters, Datastream 7i multiplies the number entered for Estimated useful life by 3 (which is equal to the number of months in a quarter) to determine the equivalent number of months, and then rounds the number to the next whole month. For example, 0.1 is equal to .03 quarters, which is equal to 1 month. If you select Years, Datastream 7i uses the same processing rules as it does for Quarters, except the multiplication factor is 12 instead of 3 |
Residual value—Enter the estimated value of the asset at the end of its useful life.
Depreciation method—Select the depreciation method for the asset.
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Datastream 7i automatically populates Depreciation method based on the setting of the ASDEPTYP installation parameter. However, if you specified a depreciation method at the organization level, Datastream 7i populates Depreciation method with the depreciation method of the current organization. Modify Depreciation method as necessary. |
Choose one of the following options:
To display the depreciation in fiscal year intervals—Select Fiscal years. Datastream 7i populates the grid with the depreciation data based on the fiscal years established for your organization.
To display the depreciation in monthly intervals—Select Months. Datastream 7i populates the grid with the depreciation data broken down into monthly intervals based on the fiscal years established for your organization.
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Fiscal years are set up on the Fiscal years page of the Organizations form (BMORGS). |
Complete steps 10–13 only if you have selected Units of output as the Depreciation method.
Est. lifetime output—Enter the estimated number of units of output that you expect the asset to produce during its estimated useful life. Enter a value only if you have selected Units of output as the Depreciation method.
Click Enter units of output. Datastream 7i displays the Units of output dialog box.
Units of output—Enter the actual units of output for each period as necessary.
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Datastream 7i retrieves the units of output values previously entered for any periods each time you access the Units of output dialog box. |
Click OK. Datastream 7i calculates the depreciation values based on the units of output entered and returns to the Depreciation page.
Choose File | Save from the menu bar. Datastream 7i calculates the depreciation values and populates the lower portion of the form with Start date, End date, Depreciation expense, and Book value for each Period. Datastream 7i automatically calculates the Start date and End date for each period based on the fiscal year periods you have defined on the Fiscal years page of the Organizations form (BMORGS). The first period begins with the Commission date of the asset and each subsequent period begins the day following the End date of the previous period.
Datastream 7i determines the system date and the period in which the system date falls, and then calculates the following values for the asset for the beginning of the period through the system date:
The Depreciation expense (to date) represents the total depreciation of the asset that has occurred since the beginning of the period to the present system date. If you use Units of output as your depreciation method, the value displayed for Depreciation expense (to date) is the sum of the depreciation for all of the periods for which you have entered the numbers of units and for which Datastream 7i has calculated the depreciation.
The Depreciation expense (PTD) represents the total depreciation of the asset that has occurred since the beginning of the current period to the present system date. However, Datastream 7i does not compute the Depreciation expense (PTD) if you use Units of output as your depreciation method. Because the units of output depreciation expense is based on the number of units produced within a given period, you must manually enter the units produced within the period to generate calculations, and you do not enter the units produced until the end of the period or fiscal year.
The Book value (to date) represents the current book value of the asset based on its commission date and the present system date. If you use Units of output as your depreciation method, the value displayed for Book value (to date) is the book value of the asset from the last period for which you have entered the numbers of units and for which Datastream 7i has calculated the depreciation.