Depreciation of fixed assets in an institution is an important financial management issue, and according to the relevant regulations, depreciation of fixed assets in an institution is charged in the following month. This means that when a fixed asset increases in the current month, the asset will not be depreciated in the current month, but will begin to be depreciated in the following month. For a fixed asset that decreases in the current month, it will still be depreciated in the current month, but depreciation will stop from the next month.
The reason for this provision is that the useful life of fixed assets is usually long, and the number of fixed assets increased or decreased in the current month may be relatively small, so placing the depreciation accrual in the next month can better reflect the actual use and value consumption of fixed assets. In addition, this practice also helps to harmonize depreciation accruals between different months, making financial reporting more accurate and comparable.