To set a dollar limit on the amount of an adjustment, you must edit the Threshold Amount field in the FA: Defaults screen.
WinTeam uses the Threshold Amount to determine how to handle differences (or adjustments) in accumulated depreciation. Differences in Accumulated Depreciation can occur when you enter an existing Fixed Asset, converted from a previously used Fixed Assets system, in the FA: Master File screen. Differences in accumulated depreciation can also occur if you change the Expected Life, Cost, Salvage or Method fields for an existing FA:Master File record after the system updates depreciation to the General Ledger.
If the amount entered in the Accumulated field differs from the system-calculated accumulated depreciation, the system adjusts this difference at some point during the remaining life of the Fixed Asset.
If this difference is less than the Threshold Amount, the system corrects the accumulated depreciation in the last fiscal period (or month) for the Fixed Asset.
If this difference is equal to or greater than the Threshold Amount, the system corrects the accumulated depreciation based on the Threshold Type (All in First Period or Evenly over Remaining Periods) selected in the Fixed Assets Defaults screen.