This will be automatically substituted for the original method, in plans for the IAS/IFRS or CRC2002-10 standards, during any change influencing the depreciation of an asset : change of method, depreciation, re-evaluation by market value.
The introduction of the residual method is used to process these changes in a long term fashion, by depreciating the new net value for the asset over the duration of the residual depreciation.
- If the method is Standard, the residual method cannot be entered: it is loaded with the method itself, if this method has already been calculated based on the net value, or with the RE-Residual value if this method has been calculated based on the gross value. The user can specify the prorata type to apply (days, weeks or months).
Special features: for the Portuguese standard methods Constantes and Constantes Duodecimos, the residual method can be entered. It may contain the method itself, or the Re-Residual method. - If the method is Free, the residual method is loaded by default with the method itself, but remain modifiable and can be filled with the residual method, whether standard or free.