Registering Preliminary Fixed Asset at Invoice Entry

This document describes the workflow for automatically registering preliminary fixed assets when recording or recoding supplier invoices or entering journal vouchers.

Rental and leasing equipment can be registered automatically in the Fixed Assets module at goods receipt using an alternative workflow; see Automatic Registration of Equipment as a Fixed Asset at Goods Receipt.

Outcome

A preliminary asset is registered with status 5 (Preliminary) in 'Fixed Assets. Open' (FAS001).

Activate the preliminary asset by selecting a fixed asset type in (FAS001). A depreciation plan is then automatically created based on the acquisition cost and the depreciation types selected for the fixed asset type.

The preliminary asset is saved in the Fixed Asset master table, FFASMA. The amounts are stored for each value type in the FFASVL table.

Before you start

Follow These Steps

  1. Register Supplier Invoice or Enter Journal Voucher

    You can trigger the automatic registration of a preliminary asset in the following ways:

    • Record Supplier Invoice

      Enter an approved invoice for the purchase of the asset in 'Supplier Invoice. Record' (APS100) and record the cost on a fixed asset account. 'Fixed Asset. Open Preliminary' (FAS180) is automatically displayed, either directly or after 'Supplier Invoice. Match GR Line' (APS1360), depending on whether the invoice is matched to a goods receipt.

    • Recode Supplier Invoice

      Recode an invoice on a clearing account for the purchase of the asset in 'Supplier Invoice. Recode' (APS110) and record the cost on a fixed asset account. (FAS180) is automatically displayed, either directly or after, depending on whether the invoice is matched to a goods receipt.

    • Record Payment in the General Ledger

      Make a manual journal voucher entry of a cost related to the acquisition of the asset, for example, based on a statement of account, in 'Journal Voucher. Open' (GLS100) and record the cost on a fixed asset account. (FAS180) is automatically displayed.

  2. Register Basic Fixed Asset Data

    In (FAS180), enter a brief description of the preliminary asset to create in the Fixed Assets module as well as the quantity. If the asset is new, do not enter an ID for the asset; it will automatically be assigned an ID from 'Settings – Fixed Asset Acquisition' (FAS900). The only time you must enter the asset ID in (FAS180) is when the asset already exists and you are recording an additional cost. Such an additional cost will be stored in a separate value type that was selected in (FAS900).

    If applicable enter a residual value, which is used by M3 Business Engine, to create the depreciation plan when you activate the preliminary asset. The amount to depreciate will be the depreciation base amount minus the residual value. For example, if the acquisition cost is EUR 1,000 and the residual amount 100, then only 900 will be depreciated. If the lifetime of the asset is defined as twelve months and the depreciation is linear, then the monthly depreciation will be 75 (900 divided by 12 months). Without the residual value the monthly depreciation would have been 83,33 (1,000 divided by 12 months).

    After you enter the applicable values and press Enter, you return to the program where you recorded the payment. Continue as usual. The acquisition cost of the preliminary asset is automatically calculated as the purchase price plus any additional costs minus any cash discount.

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