Depreciation recorded incorrectly

[feebster]

Have just discovered that depreciation has been recorded incorrectly.

Depreciation is recorded at the end of the financial year as a journal.

The previous person has only done a journal that credits the asset cost and debits accumulated depreciation. No expense has been recorded at all.

The balance sheet now shows the asset and the accumulated depreciation as a positive value, and no expense showing on the profit and loss.

How do i correct this.

Thank you

[Melisa_D]

Hi @feebster, 

Thank you for your post. If the depreciation has been recorded incorrectly, we highly recommend speaking to your Accountant or financial advisor on how this would need to be adjusted to ensure it is reported correctly in your software. Once you have confirmed how this needs to be reported I can assist you with recording that in your software.