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Asset Value Increase - Wrong Monthly Depreciation with Straight Line Method

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Dear all experts;

 

I'm looking for your help and consultancy in my case as follows:

 

I created a new fixed asset using Straight Line Depreciation with these parameters:

 

- Depreciation Start Date: 01.05.2013

- Useful life: 12 months

- APC 12,000,000 VND

 

=> Monthly depreciation: 1,000,000 VND / month and

 

 

May.2013: 1,000,000 VND (posted already)

June.2013: 1,000,000 VND (planned)

July.2013: 1,000,000 VND (planned)

August 2013: 1,000,000 VND (planned)

September 2013: 1,000,000 VND (planned)

October 2013: 1,000,000 VND (planned)

November 2013: 1,000,000 VND (planned)

December 2013: 1,000,000 VND (planned)

January 2014: 1,000,000 VND (planned)

February 2014: 1,000,000 VND (planned)

March 2014: 1,000,000 VND (planned)

April 2014: 1,000,000 VND (planned)

 

After that, I posted amount increasement for this asset on 01.06.2013 (asset value date 01.06.2013). And the system shows value of monthly depreciation as below:

 

May.2013: 1,000,000 VND (posted already)

June.2013: 2,833,333 VND (planned)

July.2013: 1,916,667  VND (planned)

August 2013: 1,916,667 VND (planned)

September 2013: 1,916,667 VND (planned)

October 2013: 1,916,667 VND (planned)

November 2013: 1,916,667 VND (planned)

December 2013: 1,916,667 VND (planned)

January 2014: 1,916,667 VND (planned)

February 2014: 1,916,667 VND (planned)

March 2014: 1,916,667 VND (planned)

April 2014: 1,916,667 VND (planned)

 

Compared with my own calculation for straight line depreciation, planned depreciations of each month must be 2,000,000 VND from June 2013 up to April 2014. But why system gets calculation by total APC Value over total useful life EVEN my configuration indicates for NET BOOK VALUE / REMAINING USEFUL LIFE. Below is my configuration

 

Base Method: 0001 - Ordinary: sum-of-the-years-digits

Multilevel Method: 001 - Acq.year: 9999, Year: 999, Per: 12, Base Value: 24, Rem.life: Sticked

Period Control Method: 001: 01-01-02-02

 

Depreciation Key Z001: Str.-line over rem.life pro rata to zero

 

Base Method: 0001

Decl.bal.method: 001

Prd cont: 001

Multilev.meth.: Z01

Class: 1 Straight-line depreciation

Change Method: 5 Change over after end of the useful life

Multiple shift: Increase in depreciation and expired useful life

Shutdown: Yes

 

Deeply appreciated and points assigned for any helpful and reasonable contributions

 

Many thanks,

 

Windy


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