Fixed Assets

Introduction

The objective of the Fixed Assets Register is to keep an accurate register of all company property and the depreciation thereon, where applicable. The Fixed Assets (FA) module monitors assets by providing up-to-date information including leased assets. It reports on
age and residual values, and fixed assets for end-of-year reporting. It saves labour by automating Fixed Assets registers and handles the automatic calculation and posting of asset disposal entries, generating profit and loss reports.
An AP expense invoice can be linked to fixed assets via FA subledger allocation. For this subledger allocation, FA expense account must be maintained in the GL expense account (GLE355). When the Accounts Payable/GL entry is made against one of the FA expense accounts, then FA Subledger Allocation program FAE005 is called to capture the Fixed assets and the expense amount for each asset. The FA subledger transaction inquiry (FAI020) can be viewed from Work with Fixed Assets (FAW010) using option Expenses.

Prerequisites & setup

Business rules

The following business rules have to be setup to handle <<SOP name>>. Business rules for <<SOP name>> must be setup with support from Iptor IP1 consultants. It is critical to understand the setting of control files and how it works. Control files must be setup correctly for the system to operate as intended. Any changes to the control files setup should be addressed cautiously and in consultation with Iptor IP1 consultants.

Business rules Description & steps
<<control file & control number name>> <<Describe what needs to be setup>>
<<Upload image from the media library if complex setup.>>
TMASFA/GL-ACC  
TMASFA/GL-BACC  
TMASFA/GL-PLACC  
TMSFA/SUMBAL  
TMSFA/DPS-I  
   
   

Other setups

Setup Steps
<<Name & brief description>> <<Describe what needs to be setup or link to a setup document>>
   
   

Process flow

<<Process name>> <<Link to process flow diagrams>>
   
   

Procedure

It is your responsibility to ensure that you understand this procedure before performing the following tasks.

Note Deviations from this procedure should be covered by procedures written by your company. Before performing any tasks please ensure all the business rules are set-up accordingly. 
Process/Task Steps
Add/maintain assets To add new assets or to view/maintain assets follow the instructions on Work with Fixed Assets.
Dispose of an asset

To dispose an asset, you can create a charge only sales order for the entered disposal amount using the disposal sales order adjustment item/asset group defined in control file TMSFA/DPS-I.

To dispose an asset without generating a sales order, do not populate control file TMSFA/DPS-I.

Follow the instructions as outlined on Disposal of an asset.
Global depreciation changes To perform global changes to asset depreciation e.g. depreciation method/rate, follow the instructions on Global depreciation change.
Global tax cost/rate copy  
Fixed Assets inquiries  
Fixed Assets reports

Various Fixed Assets reports are available:

  1. Detailed Asset Register 
  2. Summary Asset Register 
  3. General Ledger posting report – lists all postings by GL Account Number. 
Month end processing
  1. Run End of month processing as a trial. This will process the depreciation without actually closing or rolling the period over and generate the posting reports. 
  2. Check the generated reports. 
  3. Fix any errors. If there are General Ledger Account errors, the errors are indicated in the General Ledger posting report and a posting option cannot be taken until the errors are corrected.
  4. If there are no errors, then rerun the Month end processing with the option Close period.  This will run the depreciation process where depreciation will be calculated for all the active assets and create journals for posting/interface to the General Ledger and roll the period over.

For detailed instructions for the Month end processing see Fixed Assets EOM.
Year end processing

 

Appendix

<<optional>>

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