Modifying asset categories

Asset categories must first be defined in Designer. After the categories are added, use the Asset Categories page to specify further information for the asset category.

  1. Click the Home icon.
  2. Select Applications > Sub Plan > Capital Planning > Configuration > Asset Categories.
  3. Specify this information:
    Asset Account
    Click Select Account to select the account in which to write the value of the asset.
    Active
    Select this check box to make an asset category available for selection. This check box is enabled when you select an account.
    Depreciation Method
    Click Select Depreciation Method and select a depreciation method. Selecting a depreciation method is optional. If you select a depreciation method, you must also select accounts for account depreciation asset, account depreciation, account cash, and provide a value for useful life.
    Useful Life
    Specify the expected life of the category. This value is used in depreciation calculations.
    Accumulated Depreciation Account
    Click Select Account and select an account in which to write the depreciation value. The value of the asset is depreciated (reduced), but the amount of the reduction that can be claimed is therefore a benefit and tracked as an asset in itself. Accumulated Depreciation Account and Depreciation Expense Account are opposites and cancel each other out.
    Depreciation Expense Account
    Click Select Account to select an account in which to write the tax write off of the depreciation.
    Cash Account
    Optionally, click Select Account and select an account in which to write the cost of the asset. The company spends cash (on the cost) but gains value (the asset). Asset Account and Cash Account are opposites and cancel each other out.

If you change an account assignment on the Asset Categories page after data entry has started, the change is only for future data entries. Any data already specified is not changed. For example, if you add a depreciation account named A4020 and assign it to asset category, XY. The previous depreciation account is named A4010. Any specified values remain under A4010. All future depreciation is written to A4020. Only the new assignment is shown on the tabs in the workbook. If you change the assignment for an asset category, you should also reassign the account on the Custom Detail Maintenance page.