Description
This report checks Korean assets acquired before January 1, 1995.Assets that have reached the scrap value in the chosen year are checkedfor rounding problems.
The report lists any assets whose net book value deviates from theexact scrap value.
You must not run this report until after the depreciation run. You canthen manually post to the assets the rounding differences shown in thelist.

Output
The list shows assets whose net book value is below the net book valuepercentage rate for the changeover of the depreciation method but abovethe cutoff value percentage rate. When the net book value falls belowthe net book value percentage rate, i.e., during the changeover, itought to be the same as the cutoff value percentage rate.

Example
An asset is capitalized on January 1, 1994 with an acquisition value ofW 10,000,000. It is depreciated over a period of five years using thedeclining-balance method.
The net book value percentage rate for the changeover of thecalculation key is 10.2%, whereas the cutoff value percentage rate forthe external calculation key is 10%.
Theoretically, when the five years are up, the net book value shouldamount to exactly W 1,000,000.
However, Korean law stipulates that the annual depreciation factor berounded to three decimal places - in this case, 0.369. That leaves W1,000,038 at the end of the five year period.
This report is then run after the 1998 depreciation run. The reportdate is set to December 31, 1998, although if a noncalendar fiscal yearwere in use, you would enter the end of the fiscal year - even if youenter January 1, 1999, the report is still executed for December 31,1998.