"Fossies" - the Fresh Open Source Software Archive  

Source code changes of the file "guide/C/ch_dep.xml" between
gnucash-docs-4.12.tar.gz and gnucash-docs-4.13.tar.gz

About: GnuCash is a personal and small business finance application (documentation).

ch_dep.xml  (gnucash-docs-4.12)	:	ch_dep.xml  (gnucash-docs-4.13)
skipping to change at line 651		skipping to change at line 651
<para>The first step is to build the account hierarchy (as shown in the prev ious section, replace		<para>The first step is to build the account hierarchy (as shown in the prev ious section, replace
<emphasis>ITEM1</emphasis> and <emphasis>ITEM2</emphasis> with <quote>car< /quote> and		<emphasis>ITEM1</emphasis> and <emphasis>ITEM2</emphasis> with <quote>car< /quote> and
<quote>camera</quote>). Now, record the purchase of your assets by transfe rring the money from		<quote>camera</quote>). Now, record the purchase of your assets by transfe rring the money from
your bank account to the appropriate <emphasis>Asset Cost</emphasis> accou nts for each item		your bank account to the appropriate <emphasis>Asset Cost</emphasis> accou nts for each item
(eg: the <emphasis>Assets:Fixed Assets:Car:Cost</emphasis> account for the car). In this		(eg: the <emphasis>Assets:Fixed Assets:Car:Cost</emphasis> account for the car). In this
example, you start with $30k in the bank, the car cost $20k and the camera cost $10k and were		example, you start with $30k in the bank, the car cost $20k and the camera cost $10k and were
both purchased on January 1, 2000.		both purchased on January 1, 2000.
</para>		</para>
<screenshot id="dep_example">		<figure pgwide="1">
<mediaobject>		<title>Asset Accounts Before Depreciation</title>
<imageobject>		<screenshot id="dep_example">
<imagedata fileref="figures/dep_example.png"		<mediaobject>
srccredit="Bengt Thuree" />		<imageobject>
</imageobject>		<imagedata fileref="figures/dep_example.png"
		srccredit="Bengt Thuree" />
<textobject>		</imageobject>
<phrase>Asset Depreciation Example1</phrase>		<caption>
</textobject>		<para>The asset accounts still only have the investments stored.
		</para>
<caption>		</caption>
<para>The asset depreciation example main window, before depreciation		</mediaobject>
</para>		</screenshot>
</caption>		</figure>
</mediaobject>
</screenshot>
<para>Looking at the tax codes, we realize that we must report depreciation on these items using the		<para>Looking at the tax codes, we realize that we must report depreciation on these items using the
<quote>sum of digits</quote> scheme, over a 5 year period. So, the yearly depreciation amounts		<quote>sum of digits</quote> scheme, over a 5 year period. So, the yearly depreciation amounts
for the car come to $6667, $5333, $4000, $2667, $1333 for years 1 to 5 res pectively, rounded		for the car come to $6667, $5333, $4000, $2667, $1333 for years 1 to 5 res pectively, rounded
to the nearest dollar. The yearly depreciation amounts for the camera are $3333, $2667, $2000,		to the nearest dollar. The yearly depreciation amounts for the camera are $3333, $2667, $2000,
$1333, $667. Consult the previous section on Depreciation Schemes for the formula for		$1333, $667. Consult the previous section on Depreciation Schemes for the formula for
calculating these values.		calculating these values.
</para>		</para>
<para>For each accounting period (IE: fiscal year) you record the depreciati on as an expense in the		<para>For each accounting period (IE: fiscal year) you record the depreciati on as an expense in the
appropriate <emphasis>Accrued Depreciation</emphasis> account (eg: the <em phasis>Assets:Fixed		appropriate <emphasis>Accrued Depreciation</emphasis> account (eg: the <em phasis>Assets:Fixed
Assets:Car:Depreciation</emphasis> account for the car). The two windows b elow show your		Assets:Car:Depreciation</emphasis> account for the car). The two windows b elow show your
car&rsquo;s accrued depreciation account and the main window after the thi rd year (IE: three		car&rsquo;s accrued depreciation account and the main window after the thi rd year (IE: three
periods) of depreciation using this <guilabel>sum of digits</guilabel> sch eme.		periods) of depreciation using this <guilabel>sum of digits</guilabel> sch eme.
</para>		</para>
<screenshot id="dep_assetreg">		<figure pgwide="1">
<mediaobject>		<title>Asset Depreciation In The Register</title>
<imageobject>		<screenshot id="dep_assetreg">
<imagedata fileref="figures/dep_assetreg.png"		<mediaobject>
srccredit="Bengt Thuree" />		<imageobject>
</imageobject>		<imagedata fileref="figures/dep_assetreg.png"
		srccredit="Bengt Thuree" />
<textobject>		</imageobject>
<phrase>Asset Depreciation Register Window</phrase>		<caption>
</textobject>		<para>This account shows a list of depreciation transactions.
		</para>
<caption>		</caption>
<para>The asset depreciation register window		</mediaobject>
</para>		</screenshot>
</caption>		</figure>
</mediaobject>
</screenshot>
		<figure pgwide="1">
		<title>Accounts Tab After Asset Depreciation</title>
<screenshot id="dep_assetmain">		<screenshot id="dep_assetmain">
<mediaobject>		<mediaobject>
<imageobject>		<imageobject>
<imagedata fileref="figures/dep_assetmain.png"		<imagedata fileref="figures/dep_assetmain.png"
srccredit="Bengt Thuree" />		srccredit="Bengt Thuree" />
</imageobject>		</imageobject>
		<caption>
<textobject>		<para>The asset accounts got decreased by the depreciation.
<phrase>Asset Depreciation Main Window</phrase>		</para>
</textobject>		</caption>
<caption>
<para>The asset depreciation main window
</para>
</caption>
</mediaobject>		</mediaobject>
</screenshot>		</screenshot>
		</figure>
<note>		<note>
<para>A Word of Caution: Since depreciation and tax issues are closely rel ated, you may not always be free		<para>A Word of Caution: Since depreciation and tax issues are closely rel ated, you may not always be free
in choosing your preferred method. Fixing wrong calculations will cost a whole lot more time		in choosing your preferred method. Fixing wrong calculations will cost a whole lot more time
and trouble than getting the calculations right the first time, so if yo u plan to depreciate		and trouble than getting the calculations right the first time, so if yo u plan to depreciate
assets, it is wise to make sure of the schemes you will be permitted or required to use.		assets, it is wise to make sure of the schemes you will be permitted or required to use.
</para>		</para>
</note>		</note>
</sect1>		</sect1>
</chapter>		</chapter>
End of changes. 5 change blocks.
43 lines changed or deleted		37 lines changed or added

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