Click to select a valid depreciation method code. There are only two depreciation methods available:
• Straight Line (SL) - SL depreciation only. Uses the two conventions available, Full Month (FM) and Half Year (HY).
• No Depreciation (ND) - Used for land or other assets that do not lose value.
• If left blank, the field is populated from the property class record.
CAUTION: If the depreciation method for an inventory item is changed from Straight Line (SL) to No Depreciation (ND), the following message is displayed, “Warning: When saved, any depreciation history is deleted. Do you wish to continue with this change?” Click Yes to change the depreciation method and delete the depreciation history. Since all depreciation history records for this inventory item are deleted with this change, it is strongly recommended that the user create a system backup before saving this change. Click No to disregard the change. The depreciation method is not changed, and the depreciation history is not deleted.
The field is required for depreciation calculations.
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