Calculate STL Depreciation with Mid-Month Prorate Convention
Hi,
I have the below requirement for calculating depreciation mid-month using STL method.
- Regardless of the date placed in service (before Jan 16 or after), the asset in its first month of service should be depreciated only for half a month.
- Regardless of the date retired (before 16th Jan or after), the asset in its last month of service should be depreciation only for half a month.
For instance, if the asset was added in 5th January of that year, we want system to only calculate half a month of depreciation for that asset in the first month of its life - same is true if the asset was added on 31st Jan. We also require the same to happen in the month it retires - only half a month depreciation.