Recalculation of dep by change in depreciation methods from wdv to slm

Question

Dear all,
advice me as per indian accounting standard. I am in great need for this solution.
my scenerio
we are on ECC 5.0.
As per the standards if an organization change its depreciation method e.g from WDV to SLM or vise versa, system should recalculate the depreciation for all assets from first acquisition date. i am trying to explain the situation the following example:-
first acquisiton in assets X - 4/1/2000 for 50,00,000/-
dep method - WDV CALCULATED @ 13.91
both PLANT -1, PLANT-2 are in the same company code 1000.
in PLANT -1 - WDV METHOD
in PLANT-2 - SLM METHOD are used
up to 05.11.2007 the asset X is in PLANT -1 & dep is calculating @ 13.91 on WDV method.
on 06.11.2007 the asset X is transferred from PLANT -1 to PLANT-2 in which SLM METHOD @ 4.75%
is used.
present scenario
Depreciation is calculated up to november (8th period) of current year @ 13.91 on WDV method.
on this situation system should recalculate the past depreciation from 04.01.2000 as per SLM method and post the surplus in dec'08. i.e, reduce the depreciation amount in the current year.
is above situation is possible in SAP. if yes please explain in detail. if not then what is the best possible way to meet this requirement.
Thanks & regards,
Sandeep

Answer 1

Yes Sandeep, Change the Depr key (Depr method). Run AFAR to see whether the system recalculates the Depr for atleast the current FY, if not for the previous FY's.
Now Manually calculate the Difference in depr till last FY (WDV Depr minus SLM Depr) and post the difference amount thru ABZU transaction.
Check to which account the ABZU post the excess depr.  You can post a rectification entry for the excess depr posted thru ABZU, if you want to transfer it from the existing account to the new account, for accounting purpose.
Please follow these steps in an order & revert in case you still have any questions.