Accumulated depreciation Follow

We are writing a start-up plan for a business that we purchased. How do we enter accumulated depreciation as a starting balance on the balance sheet?

Resolution

You need to be an ongoing company to have accumulated depreciation, and for an ongoing company your balance sheet is loaded with initial balances from the Past Performance table. One of the entries is for the ending balance of accumulated depreciation. 

If, however, you set your plan up as a start-up company, you will not see the past performance table, and you will not have an entry for accumulated depreciation. Business Plan Pro does that on purpose: accumulated depreciation does not make sense for a true start-up company.

If you need to have accumulated depreciation, then you should go back and change your plan to make it an ongoing company, with a past performance table instead of start-up.

Every plan must be either a start-up or an ongoing plan. You set that choice in the Plan Setup when you start a plan, and if you've already started it you can go back to the Plan Setup and change from one to the other option. 

 
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