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Setting Up Depreciation Override in Oracle Assets

Depreciation Override allows you to optionally override the depreciation amounts calculated by Oracle Assets. Using this feature, you can manually override the calculated default depreciation amounts for standalone and group assets. Before running depreciation or performing adjustments, you must provide the necessary information in the Depreciation Override window or the FA_DEPRN_OVERRIDE table, and indicate whether the override data is for depreciation or adjustments.

When running depreciation, the system will upload and use the depreciation amounts provided in the interface table. This  feature uploads and overrides the system calculated depreciation amounts with the amounts you provided in the override interface table.

Prerequisite:- The only per-requisite for using this feature is to setup the profile FA: Enable Depreciation Override to Yes

Note that for MRC-enabled books, you do not need to provide the override amounts for the reporting currency books. The system will derive the reporting currency values based on the ratio of asset cost in the reporting currency to asset cost in the ledger currency.

There are two way in which we can input the override values in Oracle assets i.e

1. Using the Depreciation Override window:-

  • Navigate to the Depreciation Override window i.e Depreciation > Override
  • Query the assets records you wish to modify, enter the asset number, book, and period of the asset in the rows of Depreciation Override window.
  • In the Depreciation field, you can enter the override depreciation amount.
  • In the Bonus Depreciation field you can enter the override bonus depreciation amount.
  • In the Use By field, you can select the adjustment type of Depreciation or Adjustment. The default value is Depreciation when creating a new record.
  • The Status field displays the current status of the override record, which may be New, Post, or Posted. If the status is Post or Posted, you cannot update the record, you can only delete the record and reenter the updated record.
  • Select Save from the menu to save your work.

2. Using the FA_DEPRN_OVERRIDE table:-

 Define the override data in the FA_DEPRN_OVERRIDE table. In the FA_DEPRN_OVERRIDE table, enter all basic override depreciation information: BOOK_TYPE_CODE, ASSET_ID, PERIOD_NAME, DEPRN_AMOUNT, BONUS_DEPRN_AMOUNT and USED_BY. You can provide depreciation amounts for depreciation expense and bonus expense separately using the columns: DEPRN_AMOUNT and BONUS_DEPRN_AMOUNT. Define either DEPRECIATION or ADJUSTMENT in the USED_BY column depending on your requirement.

Note that you can assign multiple override data for each asset as long as PERIOD_NAME and USED_BY do not overlap for records with a non-posted status.

For more information on depreciation override functionality, please refer Oracle Asset User Guide

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