The Half-Year Convention method will only be applied if you have placed a check mark in the Use Half-Year Convention field in the FA depreciation book.
This depreciation method can be used in conjunction with the following depreciation methods in the program:
When Half-Year Convention is applied, a fixed asset will have six months depreciation in the first fiscal year regardless of the contents of the Depreciation Starting Date field.
 Note |
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| The estimated life of the fixed asset that is remaining after the first fiscal year will always contain a half-year using the Half-Year Convention Method. Thus, for the Half-Year Convention method to be applied correctly, the Depreciation Ending Date field in the FA Depreciation Book must always contain a date which is exactly six months before the final date of the fiscal year in which the fixed asset will become fully depreciated. |
For an example, see Example - Straight-Line Depreciation Using Half-Year Convention for more information.