Closing FA period with no depreciation, but no catch-up depreciation when depreciation resumes?
Summary:
Due to regulatory reporting requirements, we must migrate all of our assets in the prior period to go live. Ideally, we would migrate the assets with their go-live values (Cost, NBV, Dep Reserve, YTD Dep, etc.), close the prior period (with no depreciation taking place), and then the system would pick up depreciating the assets as expected in the go-live period.
Best practices documentation recommends suspending depreciation for the prior period, however, in the guidelines for suspending and resuming depreciation document it also insinuates that once depreciation is resumed it will be "caught-up" in the last lifetime of the period. Similarly, if the asset is added with the depreciate flag set as "No," documentation states that the missed depreciation will be caught up in the period in which the flag is changed to Yes. As such, is it possible to close the period with no depreciation taken into effect and then the following period resumes as expected (with no catch-up depreciation)?