Setting up Asset Classes

An asset class is used to group together assets that fit into the same logical category, that depreciate with the same method and percentage. Each asset class record is identified by a unique asset class code. Create asset classes using Fixed Asset Class (FAC), then use Asset Records (FAS) to assign the appropriate asset class to each asset record.

As a way of categorizing assets, asset classes are more comprehensive than using fixed asset analysis codes, because an asset class holds some of the defining information about the assets within the class. For example, a FURNITURE asset class might be created to group together many different asset records for desks, chairs and cupboards, and so on, that all depreciate at 20% per year with the straight line method, and whose depreciation amounts are all posted to the same furniture depreciation account.

In the asset class record, define the depreciation method, percentage and accounts for the class, in the different currency values as necessary. Then, when you assign the class to an asset in Asset Records (FAS), the depreciation method, percentage and accounts are automatically entered on the asset record being created or modified. If any of those fields have already been entered on an asset record being modified, they are not overwritten unless you confirm you want to override them.