(FRA) About RB/SL depreciation
Important
This content is archived and is not being updated. For the latest documentation, see Microsoft Dynamics 365 product documentation. For the latest release plans, see Dynamics 365 and Microsoft Power Platform release plans.
Applies To: Microsoft Dynamics AX 2012 R3, Microsoft Dynamics AX 2012 R2, Microsoft Dynamics AX 2012 Feature Pack, Microsoft Dynamics AX 2012
RB/SL reducing balance is a depreciation method that calculates depreciation amounts using the reducing balance depreciation method and the straight-line depreciation method, and then uses the greater of the two calculated depreciation amounts as the RB/SL reducing balance depreciation amount. When you set up a fixed asset depreciation profile and select RB/SL (France) in the Method field in the Depreciation profiles form, the depreciation of the fixed assets that are assigned to the depreciation profile is based on the service life of the assets. For more information about setting up depreciation profiles, see Set up depreciation profiles.
You can use the RB/SL factors form to set up reducing balance factors by service life for fixed assets. For more information, see (FRA) RB/SL factors (form).
The reducing balance percentage is calculated for each fixed asset, depending on the service life of the asset. To calculate RB/SL depreciation, the depreciation starting date is always the first day of the month, and the depreciation ending date is always the end of the fiscal year. The RB/SL depreciation is the greater of either the reducing balance depreciation amount or the straight line depreciation amount.
For example, a fixed asset with an acquisition price is placed into service on February 10, 2011, and is depreciated over five years by using the RB/SL method. The following table displays the depreciation amounts and the book value for the asset for each year.
Year |
Straight line |
Reducing balance |
RBSL (largest depreciation amount) |
Book value |
|---|---|---|---|---|
2011 |
183.33 |
320.83 |
320.83 |
679.17 |
2012 |
169.79 |
237.71 |
237.71 |
441.46 |
2013 |
147.15 |
154.51 |
154.51 |
286.95 |
2014 |
143.48 |
100.43 |
143.48 |
143.47 |
2015 |
143.47 |
50.21 |
143.47 |
0.00 |
Total |
N/A |
N/A |
1,000.00 |
N/A |
Note
If you depreciated an asset by using a fixed asset software other than Microsoft Dynamics AX, you must post the acquisition and the accumulated depreciation in Microsoft Dynamics AX for the period before you started using Microsoft Dynamics AX. For example, if you started using Microsoft Dynamics AX on January 1, 2011, you must post the acquisition and accumulated depreciation in Microsoft Dynamics AX for the period ending December 31, 2010.
After you post the acquisition, you must change the acquisition date to the correct date from your previous software and enter the remaining life of the asset. You can then depreciate the asset as usual, starting January 1, 2011.