The residual value of the asset comes from the business practice and practical operation of the fixed residual value of the depreciation code

1. Overview of fixed residual value of depreciation code

One of the ways to determine the residual value of an asset: fix the residual value through the depreciation code (priority is higher than the residual value rate of the depreciation code * original value).
Specific reference: https://blog.csdn.net/wangjolly/article/details/112252384

1.1 How to set a fixed salvage value for depreciation codes

T-CODE: AS01/AS02

double-click the depreciation code to maintain the residual value

2. Business practice and practical operation

According to business practice, the fixed residual value setting of the depreciation code has the following two major scenarios that affect the monthly depreciation amount:

• Scenario 1: The residual value rate of the depreciation code is not equal to 0 (<> 0)
• Scenario 2: The residual value rate of the depreciation code is equal to (= 0)

Each big scene includes 3 small scenes

• Scenario 1: Set up before asset card capitalization
• Small scenario 2: After the asset card is capitalized, there is no setting before depreciation
• Scenario 3: After the asset card is capitalized, the pre-depreciation setting has occurred

Different scenarios will cause different changes in the residual value of the asset and the monthly depreciation.

2.1 Scenario 1: The residual value rate of the depreciation code is not equal to 0 (<> 0)

The priority of the fixed residual value of the depreciation code is higher than the residual value calculated by the residual value rate of the depreciation code.
In this scenario, after the fixed salvage value of the depreciation code is set, the final asset salvage value and monthly depreciation amount will change accordingly. The
calculation is as follows:
asset salvage value = fixed salvage value of depreciation code
monthly depreciation amount = (original value-asset salvage value) / Total month

2.1.1 Scenario 1: Setting before asset card capitalization

In this scenario, the
residual value of the asset = the fixed residual value of the depreciation code The
monthly depreciation amount = (original value-residual value of the asset) / total month

It is the same as processing according to the residual value rate of the depreciation code.

Example
Asset: 130000000000
Depreciation code: Z002 (straight-line depreciation method, residual value 5%, depreciation starting next month)
Depreciation period: 10 years
Original value: 12000
depreciation code residual value = 1000
monthly depreciation amount = (12000-1000) / 120 = 91.67

2.1.2 Small scenario 2: After the asset card is capitalized, there is no setting before depreciation

In this scenario,
after setting the residual value of the depreciation code, it is the same as scenario 1:
Asset residual value = fixed residual value of depreciation code
Monthly depreciation amount = (original value-asset residual value) / total month

Example
Asset: 130000000002
Depreciation code: Z002 (straight-line depreciation method, salvage value 5%, depreciation from next month)
Depreciation period: 10 years
Original value: 12000
asset salvage value = 12000 * 0.05 = 600
monthly depreciation amount = (12000-600) / 120 = 95



Set the depreciation code residual value = 1000
asset residual value = 1000
monthly depreciation amount = (12000-1000) / 120 = 91.67

2.1.3 Small scenario 3: After the asset card is capitalized, the setting before depreciation has occurred

In this scenario,
after setting the residual value of the depreciation code, it is the same as scenario 1:
Asset residual value = fixed residual value of depreciation code
Monthly depreciation amount = (original value-asset residual value) / total month.
Special treatment: recalculated monthly depreciation amount * Already Withdrawal month-the result obtained by the depreciation amount that has been withdrawn is included in the monthly depreciation amount of the month to be withdrawn

Example
Asset: 130000000002
Depreciation code: Z002 (straight-line depreciation method, salvage value 5%, depreciation from next month)
Depreciation period: 10 years
Original value: 12000
asset salvage value = 12000 * 0.05 = 600
monthly depreciation amount = (12000-600) / 120 = 95

Set the depreciation code salvage value = 1000
asset salvage value = 1000
monthly depreciation amount = (12000-1000) / 120 = 91.67 In


October, the accrued depreciation amount is included and the current monthly depreciation amount multiplied by the The difference of the accrual month

2.2 Scenario 1: The residual value rate of the depreciation code is not equal to 0 (= 0)

In this scenario, after the depreciation code is set to fix the residual value, the final asset residual value changes accordingly.
【Note】Except for the deduction from the last depreciation month until the deduction is equal to the salvage value, the monthly depreciation of other months remains unchanged.
Normal monthly depreciation = original value / total month

Calculate as follows:
asset residual value = fixed residual value of depreciation code

The logic of the depreciation amount of the reverse month is as follows:
IF depreciation code fixed salvage value> 0
IF normal monthly depreciation amount <fixed salvage value of depreciation code
Reverse month depreciation amount = 0
ELSE.
Reverse month depreciation amount = normal monthly depreciation amount-fixed depreciation code Residual value
ENDIF.
Fixed residual value of depreciation code = fixed residual value of depreciation code-normal monthly depreciation
ENDIF.

2.2.1 Scenario 1: Setting before asset card capitalization

Set the residual value of the depreciation code before the asset card is capitalized
Example
Asset: 130000000004
Depreciation code: Z000 (straight-line depreciation method, no residual value, depreciation starting next month)
Depreciation period: 10 years
Depreciation code residual value = 2000

capitalization
Original value: 12000
Monthly depreciation = 12000/120 = 100
Reverse monthly depreciation:
10 years = 120 months Reverse the monthly depreciation
from the 120th month until the deducted value is equal to the residual value of the depreciation code (2000). In
this example, Exactly the monthly depreciation for the last 20 months has been deducted

2.2.2 Small scenario 2: After the asset card is capitalized, there is no setting before depreciation

The actual results with the "small 2.2.1 Scenario 1: Asset Capitalization card before setting"
an example of
assets: 130 000 000 004
Depreciation code: Z000 (straight-line depreciation method, no residual value, beginning next month depreciation)
Depreciation period: 10 years
Cost: 12,000
May Depreciation amount = 12000/120 = 100


Set the depreciation code salvage value = 2000 to
reverse the monthly depreciation amount:
10 years = 120 months
from the 120th month's monthly depreciation amount to the front, until the full value is equal to the depreciation code salvage value ( 2000) In
this example, the monthly depreciation of the last 20 months has been deducted

2.2.3 Small scenario 3: After the asset card is capitalized, the setting before depreciation has occurred

The actual results with the "small 2.2.1 Scenario 1: Asset Capitalization card before setting"
an example of
assets: 130 000 000 003
Depreciation code: Z000 (straight-line depreciation method, no residual value, beginning next month depreciation)
Depreciation period: 10 years
Cost: 12,000
May Depreciation amount = 12000/120 = 100

and reset the depreciation code after accruing depreciation. Salvage value = 1000.
Reverse monthly depreciation amount:
10 years = 120 months
. Reverse the monthly depreciation amount from the 120th month until the deducted value is equal to Depreciation code residual value (2000) In
this example, the monthly depreciation amount of the last 10 months has been deducted