Creating asset types

  1. Select Financials > Asset Accounting > Asset System Setup > Asset Types.
  2. Click Create.
  3. Specify this information:
    Company
    Select the company number.
    Asset Type
    Specify at least one asset type or subtype for each company that processes assets in the asset accounting system. Provide an asset type description. It is displayed on any form where you select a type.
  4. On the Main tab, specify this information:
    Revalue
    Select this check box to enable revalue depreciation. Revaluation is the process of restating the value of an asset due to changes in the fair market value. After using revaluation, the revaluation method parameter must also be specified.
    Amortize Revaluation Reserve
    Select this check box to post the net of the asset revaluation to the Revaluation Reserve account. This option does not impact the asset account balance or the asset book value.
    Revalue Method
    Select a revalue method and a computation when you set up an asset. Select Elimination or Proportionate.
    Post Revaluation To Account
    Select whether to post the total revaluation amount to an Asset account or a Revaluation Reserve account.
    Allocate Depreciation Expense
    Select this check box for asset types that use depreciation expense to allocate among multiple posting accounts. You must select this field before you can specify an allocation for the type.
    Include In Physical Inventory
    Select this check box if the assets that use the type are part of the physical inventory. You can override this value for individual asset items.

    Assets that are part of the physical inventory are identified by item bar codes. They can be added, transferred, disposed, and inventoried from a handheld terminal.

    Property Type
    Select a property classification for this asset type. You can select Personal, Real, Land, or Stock or Other.
    Impairment
    Select this check box to enable the impairment functionality for assets that are assigned to this asset type. If you select the Impairment check box, the Impair button will be available on the related assets.
  5. In the Accounts section, specify the account information in Asset, Accumulated depreciation, and Depreciation expense.
  6. Click Depreciation Allocation to create or update the assets.
  7. In the Revalue Accounts section, specify the account information in Revalue surplus, Revalue loss, Revalue amortization, and Revalue reserve.
  8. If you selected the Impairment check box, click Impairment Accounts to select impairment accounts for the asset type.
  9. Click Save.
    The Product Categories, Class Depreciation Rate, and Allocations tabs are now available.
    Note: The Events Accounts tab will be available if the Use Event Accounts field has been selected in the Asset Company. You can specify the Additions, Adjustments, Transfers, Disposals, Reinstate Disposals, and Revaluations.

    If you created an asset company and selected the Events Accounts option but cleared the Disposal Journal Entry option, the Exclude Incremental check box will appear. But if you selected the Event Accounts option and Consolidate Disposal Journal Entry option, the Exclude Incremental check box will not be shown.