Asset Groups provide a method of categorising Fixed Assets. Reports generated from the Asset Ledger system are typically sorted and sub-totaled by Asset Group.
Asset Groups also define the General Ledger account postings used for Asset transactions. They contain control pointers for that specific group for the following Postings:
- Asset Value Account
- Depreciation Provision Account
- Depreciation Expense Account
- Profit and Loss on Sale of Fixed Assets Account
The Asset group also provides the facility for the user to set the Default Depreciation method and Depreciation rates for both Commercial and Tax purposes for any Assets created within the Group.
You can link a Chart of Account to an Asset Group so that when you do a Sundry Purchase Order or Accounts Payable posting to the Chart of Account, the asset details of the purchase are recorded. You can use those details later to create a Fixed Asset entry for the item purchased with the need to re-key that information.
Examples
Some examples of asset groups are:
- FUR = Furniture
- CE = Computer Equipment
- MV – Motor Vehicles
Minimum Requirements
Each Asset must be assigned a Group, so you must set up at least 1 Asset Group code. How many you set up depends on how you want to see Fixed Assets represented in your balance sheet and for general asset reporting.
Changing Established Data
You can add new Asset Groups at any time and use those on new assets.
When changing the General Ledger accounts of an existing group, or changing the group on an established asset, you will need to post a General Ledger journal to move any previous postings of asset values and depreciation to the new accounts as needed.
Panel Options
- Standard panel features
- Maintenance
- Views
- Audit – shows an audit of data changes made over time to the group currently being viewed
- Where used – shows the list of assets within the group currently being viewed
- Reports
- List Asset Groups