The Capital Asset Management depreciation process is a monthly process that calculates and sends depreciation expense entries to the General Ledger and adjusts the affected asset records. Two methods can be used for the depreciation calculation: straight line, and salvage value. Each asset is depreciated from its asset depreciation date and is depreciated evenly over the asset's useful life.
The asset depreciation date for a movable asset is set to the date the asset was added. By convention, a non-movable asset uses January 1 of the current calendar year as the asset depreciation date.
The federally-owned portion of an asset is excluded from the depreciation calculation. In addition, assets with a pending asset transfer or retirement are not eligible for depreciation. Depreciation is posted to the associated plant fund, campus, or organization and to the appropriate chart code and account.