Why does a fully depreciated asset start to calculate negative depreciation?
We have a few assets that we are seeing this scenario
- Asset was put into service in July 2016
- Asset uses straight line deprecation, for 108 months (9 years) and a compute direction of C
- The monthly calculated depr is 60. In the first year of depreciation the monthly amount was 30
- In the last year of depreciation the monthly amount was 30.
- the asset was fully depreciated in Dec 2025 (based on the 108 months it should have been fully depreciated by June 2025)
- Then in Jan 2026 the system calculated a negative depreciation of 30.
Why would it now start calculating a negative depreciation. As of Dec 2025 it was fully depreciated and should have stopped depreciation. Can someone explain this?
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