Does oracle handles revaluation loss which greater than revaluation reserve at asset category level?
Summary:
A functionality to offset the downward revaluation to an asset when the amount is greater than revaluation reserve at asset level, to handle it at asset category level
Content (please ensure you mask any confidential information):
As per standard functionality, when there is downward asset revaluation, system debits the revaluation reserve to the extent of any credit balance existing in the revaluation reserve in respect to that asset.
According to AASB116 40.1 and 40.2 Not-for-Profit (Public Sector) entities can group the revaluation reserve at the asset category level, not just at the individual asset level.
So we want to have functionality where revaluation reserve from other assets within same asset category can be used to offset the downward revaluation of any other asset in the same category. When an asset decrement is larger than the individual assets reserve, the reserve is used from other assets within the category.