Immediate adjustment

The Adjustment option (Located in: File, Edit Company, Book Overrides tab, and Adjustment row) is to be selected at the time a company is created and not afterwards. Altering the adjustments afterwards may have dramatic results to the calculations in the assets with no sure way to go back to the prior numbers unless a backup of the company exist from prior to changing the adjustments.

Some of the effects of applying the Immediate adjustment to an existing company are:

1. This is a global change in a company, therefore all under-depreciated assets will be corrected not just a certain group. To find all under-depreciated asset, run the Depreciation Adjustment Report (Reports, Standard Reports, Depreciation Adjustment) which will list all under-depreciated in a company.
2. The Immediate adjustment is a hyper correction of under-depreciated assets, taken as of the month following the Beginning Date but can appear on reports anytime the depreciation is ran to a date prior to the current through date on the assets. If depreciation is ran with the immediate adjustment selected, it is correcting only under-depreciated assets.
3. The Adjustment will not be taken until depreciation is ran to the current through date with the Force Recalculate option selected or it has been ran to some date prior to the current through date in the assets when the adjustment is turned on in the Edit Company.
   
   For Example: If the Immediate adjustment is selected prior to the May depreciation run and the assets have beginning dates in prior periods, this means the assets will be adjusted in April if the Force Recalculate is selected or some prior period but if the depreciation is later ran for January, now the adjustment is taken in January and in turn the accumulated depreciation will not tie to the prior period report. Depreciation can only be ran forward from the point in which the adjustment was selected. You will never be able to run depreciation for the prior months and tie to previously calculated depreciation numbers. See How to run Depreciation for more information.
   
   
4. Removing the Immediate Adjustments and rerunning depreciation does not always properly eliminate the adjustments it performed.
5. The prior accumulated depreciation will not tie after selecting Immediate and there is nothing that can be done to correct this.