Once you have defined an asset’s depreciation parameters and calculated a schedule (in EM Asset Setup), you can then use the EM Depreciation Processing form to calculate the actual depreciation amounts.

The system uses the ‘Amount to Take’ and ‘Amount Taken’ values specified for each asset to determine the depreciation amount to post. The calculated amount automatically creates a cost transaction in EM and GL and adjusts the asset’s Amount Taken value (in EM Asset Setup) to reflect the newly posted amount.

The depreciation entries created in EM Depreciation Processing are stored in the Cost Detail file (EMCD) and, until you post the batch in EM Batch Process, are available for editing or deleting in EM Cost Adjustments. However, nothing you do in EM Cost Adjustments will affect the asset’s Amount Taken value.

If you elect to update GL when posting depreciation (the Summary or Detail option selected on the Adjustments tab in EM Company Parameters), calculated depreciation will update an accumulated depreciation account and a depreciation expense account. Normally, both of these accounts come from the EM Department file. In the case of expense, it uses the account assigned to the cost code/cost type for depreciation specified in EM Company Parameters. However, you may override these accounts for each asset in EM Asset Setup.