Introduction

Managing Fixed Assets

• The Fixed Assets Register lets you set up and maintain Fixed Assets and record Disposals. 
• The Fixed Assets grid lets you filter and sort data which you can Export to Excel 
• The Report Manager provides Fixed Asset Reports.

Fixed Asset Register and Currency

The Fixed asset Register operates in Base Currency only. If you purchase an Asset from a Foreign Currency Supplier, you should use its equivalent Base Currency value in the Fixed Asset Register. The actual transaction in the Purchasing system will continue to be in the Foreign Currency with the Base Currency value calculated from the Exchange Rate at that time. 

See:

• Managing Fixed Assets Classes ‍ 
• Depreciating Fixed Assets‍ 
• New Fixed Asset (22.2) - AIQ Academy
• Fixed Asset Disposal (22.4) - AIQ Academy
• Fixed Assets Queries (22.5) - AIQ Academy

Creating a New Fixed Asset

Go to Fixed Asset Register > Fixed Asset > New Fixed Asset to open the Fixed Asset screen.

Step One: Complete the Asset Details tab

Asset Details 

• Reference:  Choose a unique Reference Code for this Fixed asset to distinguish it from all other fixed assets.
• Parent Asset:  Reference another Fixed Asset if this Asset is an "Addition" to an existing Asset. The system then treats Original Assets (Parents) and Addition Assets independently.
• Asset Class:  Choose the appropriate Asset Class from the dropdown. This will determine the Deprecation Method and Rate to for this Fixed Asset as well as nominating the GL Posting Accounts.
• Serial Number:  Record the Serial Number (if any), for example, the Registration Number of a Vehicle.
• Description:  Enter a detailed description of the Asset.
• Location:  Enter the Location of the Asset if appropriate.
• Owner:  Enter the Owner of the Asset if appropriate.
• Cost Centre:  If you have implemented Extended Business Analysis enter the appropriate BI Code here.

Financial Details

• Purchase Date:  This is the acquisition date of the Asset. If purchased, use the Purchase Invoice Date.
• Depreciation Start Date: Enter the Date you want Depreciation to start from. The depreciation journals will include the asset from that date. It must be either the next depreciation date or another future start date. If you select a date from a period where the journal has already been processed, the depreciation will not be backdated. Note, if you already started depreciating the asset in another system, enter the date depreciation will start in this system, not the original depreciation start date.
• Purchase Cost:  The Original value of the Asset (in Base Currency).
• Net Book Value: Enter the current value of the assets, taking depreciation into account. If the asset has not been depreciated yet, this will be the same as the purchase price. If the asset has already been depreciated, enter the Net Book Value as per the Depreciation Start Date. Note that if the net book value is left at zero, the asset will not be depreciated. 
• Quantity:  Enter the number of units of the Fixed Asset. The Cost and Book Value are the totals for all the Units. This field is notational only and will have no mathematical effect on the depreciation calculation.
• Supplier:  If purchased, enter the Supplier Code in the Accounts system.
• Invoice: Select the invoice that the asset will appear on. The list of invoices you can select from is limited to the asset class you entered in the Asset Class field. 
• Reference:  If purchased, enter the Invoice Number in the Purchasing system. You can link each asset in the register to its associated original purchase invoice.  

Step Two: Complete the Contracts tab

This Contracts tab contains information only data regarding Contracts that were available or entered into, regarding the Asset. All data is optional. 

Warranty Details

• Under Warranty?: Tick to enter any warranty details. 
• Reference:  Enter the Contract No. or another Reference Code.
• Provider:  Enter the Name of the Warranty provider.
• Expiry Date:   Enter the Date or select it from the dropdown.

Insurance Details

• Insured?: Tick to enter any insurance details.
• Cert Reference:  Enter the Policy No. or another Reference Code.
• Company:  Enter the Name of the Insurer Company or Agent.
• Expiry Date:   Enter the Renewal Date or select it from the dropdown.

Maintenance Details 

• Separate Maintenance?: Tick to enter any maintenance details.
• Reference:  Enter the Maintenance Contract No. or another relevant Reference Code.
• Provider:  Enter the Name of the Provider.
• Expiry Date:   Enter the Renewal Date or select from the dropdown.

Leasing Details

• Leased?: Tick to enter any leasing details.
• Reference:  Enter the Lease Contract No. or another relevant Reference Code.
• Company:  Enter the Name of the Leasing Company.
• Completion Date:   Enter the Date, or select from the dropdown, on which the Lease expires.

When all relevant details are complete, click Process.

 

Fixed Assets Disposal

1. Go to Fixed Assets Register > Fixed Assets.
2. Click on the relevant asset’s Code to open the Fixed Asset screen.
   
   
    
3. In the Fixed Assets screen, click Dispose.
   • If the asset is being sold, check Is this asset being sold? In the accompanying fields that will appear, enter the Amount received from the Purchaser and the Bank Account that will hold the deposited funds. 
     
     

     
     

   • If the asset is not being sold, select the expense account and click Dispose and Process. In the dropdown, select the relevant Expense Account to dispose the asset against. 
     
     

     
     

4. A list of Journal entries that will be created will be listed. Click Dispose and Process. 

Fixed Assets Register Reports

To view reports, go to Reports > Report Manager > Fixed Assets Register.

Financial Period Variances Report

Once assets are linked to their associated invoices, the Financial Period Variances report helps identify:

• Assets included in invoices coded to Fixed Asset accounts, that have not yet been added to the Register.
• Assets whose invoices were posted in a financial period different from the one in which they were purchased.

Asset Class Value Variances Report 

The Asset Class Value Variances report helps identify:

• Whether an asset has been omitted from the register. It highlights any differences in the total cost of assets within an asset class in the register and the total cost for the associated asset class in the GL. If there is a variance, then this needs to be investigated.