| # Removing Asset Capitalization You remove capitalization from an asset when you capitalized an asset that should not have been placed into service. You can remove capitalization from one or more assets at a time. When you remove capitalization from an asset, its status changes from Acquired to Entered. LN cannot depreciate assets with a status of Entered, and you cannot record transactions against them. You can recapitalize assets that have the Entered status. For example, you can make corrections to the asset's details and then capitalize the asset again. Note You can remove capitalization from only those assets that have not yet begun to depreciate. If the asset has already started to accumulate depreciation in any of its related books, you can adjust the asset life or cost to zero to prevent further depreciation, or you can dispose of the asset. For more information, refer to Asset adjustment. If the asset capitalization had been suppressed, you can suppress the remove capitalization journal entry also by selecting the Suppress Journal Entries check box in the Remove Capitalization (tffam1201m000) session. Related topics Capitalizing Assets |