Acumatica Cloud ERP is one of the many ERP (enterprise resource planning) systems that contain a fixed asset module as part of the application. Having an integrated fixed asset module automates the management of a company’s fixed assets. The automation of this allows an organization to dump their convoluted Microsoft Excel Spreadsheet or Microsoft Access Database for managing the fixed asset process. Using a spreadsheet or database to manage your fixed still leaves you with making journal entries to record monthly depreciation expense and disposal of assets when they are sold or retired. You are also subject to errors during data entry not only of the journal entry itself, but also of the initial setup of the asset in the spreadsheet or database.
The Fixed Asset module in Acumatica Cloud ERP is integrated with all other modules of the application. It gives you great visibility of all of your assets as well as depreciation calculations. Schedules and reports are created automatically. You can create many different depreciation methods depending on the asset class. You can deploy multiple depreciation books, some that integrated into your general ledger and others for tax reporting services. There are tools that allow mass changes to a group of assets. It also provides an extensive audit trail that maintains notes and details of all fixed asset transactions.
In last month’s blog, I stated that there are 3 ways of entering assets into Acumatica (add them individually, add them from Accounts Payable purchases or import them from a file), and supplied instructions on how to enter them individually. In this month’s blog we will discuss how to add them from A/P purchases.
To begin the conversion process of a purchased item to a fixed asset from the Finance tab, click Fixed Assets. On the left hand side of the screen select the Processes tab and navigate to Asset Management and click on the Convert Purchases to Assets menu item.
In the Account field, use the selector to look up and select the account where the A/P bill that you want to convert to an asset was booked when the bill was entered. Remember that the A/P bill must be in a status of Released or it will not show in the upper table upon selection. The item or items that meet your criteria for selection are shown in the upper table. If you don’t see the items that you want to convert to Fixed Assets, double check the G/L account selected and then check to ensure that the A/P bill for the selected item was released.
Once the desired items for conversion are in the selection area, you can assign parameters to the items prior to conversion. You can select the Asset Class (groupings of assets that have similar characteristics or functions. Asset Classes also provide the ability to assign defaults to simplify creation of assets). Optionally, if your organization has multiple branches or multiple departments, these settings can selected at this time as well. Once this information is filled in, place a checkbox on the line of the asset that you want to convert.
A new line will be created in the lower table with the New Asset field checked.
The item is now ready to be converted to an asset. Click the Process button on the form toolbar and this will convert the items to fixed assets. The Asset ID will be assigned to each item converted according to your company’s Fixed Asset numbering sequence. You can view the converted assets by clicking on the Work Area tab and under Manage, select Fixed Assets. Once there, you can use the selector in the Asset ID field to select and view the newly added asset.
BRETT MARTIN | Business Software Consultant
Brett has over 15 years of experience in accounting holding positions of Controller, Assistant Controller, and Accounting Manager in various industries including federal government contracting, not for profit bio-tech, real estate, motion picture distribution, and motion picture production. In addition, Brett has 10 years of experience implementing accounting systems such as Acumatica, Microsoft Dynamics NAV, JAMIS Prime ERP, JAMIS Financials, Deltek Costpoint, and Deltek GCS Premier. Prior to KTL, he worked as a Senior Business Consultant for JAMIS Software Corporation implementing JAMIS Prime ERP and JAMIS Financials. Brett has studied accounting and computer information systems at Morehouse and Montgomery Colleges.
