Amortization Schedule Out of Balance

Amortization Schedule Out of Balance

The situation: The contracts amortization schedule is out of balance to the contracts economics. The users receive a “Current values do not amortize” error.

 

The solution: Preform a non-economic contract modification to correct amortization balance.

 

1.       Open Contract

2.       Fill out rewrite section

a.       Rewrite type: Contract Modification

b.       Date: Todays Date or next available date in January

c.       Reason code: Any

3.       Modification: A simple non-economic Contract Modification would be to enter in an amount in the Estimated Amount Financed field. There are no implications of adding a value in this field. Usually it is just used for reporting or documents. I have entered in the amount financed to this field for this example.


4.       Click Post

5.       GL entry rolls up earnings to correct.



6.       Amortization schedule is corrected

 


    • Related Articles

    • Using Contracts from a Work Queue as Your Selection Criteria for a Trial Balance

      See attached video for a demonstration In ASPIRE version 5.18 we added the ability to enter contract ID(s) directly into the the parameter field instead of choosing a range. What some people may not realize is how easy it is to paste results from a ...

    • Update Jobstream Schedule

      In ASPIRE, go to Administration -> Jobstream Select the jobstream job that needs to be updated. In the Schedule section, update the schedule to the desired date/time. If the save icon does not activate, make a change to the Job Name field, then ...

    • Legal Balance of a Contract

      Calculate a contract’s “Legal Balance” as the sum of all GL Debit and GL Credits under the following GL Interface Account Types: · AccountsReceivable · AccruedInterestReceivable · AccumulatedDepreciationEquipment · AccumulatedExpenseCIType · ...

    • VAT Schedule Configuration + ASPIRE Usage

      Please see the attached document for details. A VAT Schedule presents the upcoming 12 months of scheduled invoice activity for a given contract. VAT Schedules are produced on an annual basis on the anniversary date of the contract commencement. When ...

    • Contract Modification - Payment Schedule Restructure Video

      A 6 minute video of a contract modification that skips 6 payments and includes a rate change. Click here for the video.