FA: Adding a Partially or Fully Depreciated Fixed Asset

Use this procedure to add a Fixed Asset that has been partially or fully depreciated from a previously used Fixed Assets system.

You may want to review the following topics before changing adding the fixed asset:

• FA: Master File
• Setting a Dollar Limit on the Amount of an Adjustment
• Adding a Fixed Asset

To add a partially or fully depreciated Fixed Asset

1. Follow the procedure provided in Adding a Fixed Asset.
2. When selecting the Depreciation Method it is not necessary to select the same Method used in the previous Fixed Assets system. However, if you elect to use a different depreciation method, consider consulting with your accountant.
3. Enter the Date Effective for the original first fiscal period of depreciation for this Fixed Asset. The system defaults a date in this field based on the Date Acquired field and the First Period of Depreciation option selected in the Fixed Asset Defaults screen.
4. The system populates the Expected Life field based on the Asset Category selected for this Fixed Asset. You may change this value, if necessary.
5. The system populates the Periods Completed field when you save the record. The system computes the Periods Completed based on the Date Effective, Expected Life and Last Updated to GL fields.

For a fully depreciated Fixed Asset, you must enter a value in the Periods Completed field that equals the value entered in the Expected Life field.

6. If the Date Effective is from a prior fiscal year, you must enter the Accumulated Depreciation and Last Updated to GL information.

• In the Accumulated field, enter the amount of accumulated deprecation posted to the General Ledger from the previously used Fixed Assets system.
• In the Last Updated to G/L field, enter the date that depreciation was last posted to the General Ledger for all Fixed Assets.

7. Save the record.
8. When needed, the system automatically makes an adjustment to the depreciation of this Fixed Asset.

If this adjustment is less than the Threshold Amount, the system corrects the accumulated depreciation in the last fiscal period (or month) for the Fixed Asset.

If this adjustment is greater than the Threshold Amount, the system distributes the adjustment according to the Threshold Type option (All in First Period or Evenly over Remaining Periods) selected in the Fixed Assets Defaults screen.

You may also set a limit on the amount of an adjustment. For more information, see Setting a Dollar Limit on the Amount of an Adjustment.

9. After you save the record, WinTeam grays out the Accumulated and Last Updated to GL fields. If this is a partially depreciated Fixed Asset, you may want to view the adjustment (if any) made by the system. Click the Depreciation Details button to view the adjustment.