Setting up derived depreciation books allows you to enter a transaction once and update multiple assets and books. You choose a value model, usually the one used for accounting depreciation, and attach to it other depreciation books that are set up to post transactions in the same intervals as the value model.

The most common transactions to set up to post to derived depreciation books are acquisitions, acquisition adjustments, and disposals.

For example, assume that depreciation book B and depreciation book C are set up as derived depreciation books for value model A for the Acquisition transaction type. For value model A, enter an acquisition transaction for asset 123 for 1,500.00. When posted, an acquisition transaction for asset 123 in depreciation book B and asset 123 for depreciation book C for 1,500.00 will be generated and posted.

When you prepare the transactions of the value model for posting in the fixed asset journal, you also can view and modify the transactions of the derived depreciation books. If you prepare the value model transactions in another journal, the transactions of the derived depreciation books are not visible, but are posted to the appropriate accounts and posting layers when you post the value model transactions.

Note Note

If depreciation books are set up to depreciate at different intervals or methods, the depreciation transactions type should not be set up as Derived.

See Also