Overview:
This window allows you to set up depreciation bases for purposes of tracking and calculating depreciation on fixed assets. Common examples of depreciation bases are listed below. PENTA can optionally automatically book accounting entries during the depreciation calculation process for the depreciation base that is flagged as 'Book Method'. Only one depreciation base can be flagged as the book method, the remaining depreciation base calculations are for reporting only. Depreciation Life, Method, etc. is defined in the Fixed Asset Class or Asset Information window. These rules define how PENTA calculates depreciation under each depreciation base.
Examples:
- Book Method
- Federal Tax Method
- State Tax Method
Benefits:
- Ability to user define multiple depreciation bases for PENTA to track
- Flagging a depreciation base as 'Book' tells PENTA to automatically book all depreciation accounting entries
Roles:
- Fixed Asset Manager
- Accounting Manager
- CFO
Additional Content
Location:
- Fixed Asset Management > Setup > Depreciation Bases
Video: