The need to recalculate accounting schedules only applies if the alternate rent setup makes changes to recurring expense schedules. Changes to percentage rent in alternate rent do not apply.
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When your contract goes into alternate rent:
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The Recalc? flag will be set to Yes.
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The system will update your recurring expense schedule and expense forecasts to reflect the new alternate rent rates.
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Recalculations will be performed as normal, but with a Balance Forward—which can be split into P & L impact and balance sheet impact—and using the alternate rent expense schedules as the basis for calculating the accounting schedules through the end of the lease.
The assumption is that posted periods prior to the recalculation are prior to the alternate rent start date.
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When your contract comes out of alternate rent:
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The Recalc? flag will be set to Yes.
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The system will update your recurring expense schedule and expense forecasts to reflect the new alternate rent rates.
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Recalculations will be performed as normal, but with a Balance Forward—which can be split into P & L impact and balance sheet impact—and using the NON-alternate rent expense schedules as the basis for calculating the accounting schedules through the end of the lease.
The assumption is that the posted periods prior to the recalculation are all prior to the alt rent end date.
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