introduction
There are two ways to manage fixed assets in Medad system
The first method is by using the main accounts and manually restricting the depreciation of the assets through the daily entries entered by the user. The second method allows the user to manage fixed assets and calculate their depreciation automatically.
For the first method, the accounts are dealt with directly through a daily entry voucher. You can refer to the user guide of the accounting system to learn how to deal with the daily voucher screen. The second method will be explained in this guide.
Fixed assets file: Define fields
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Asset Type: Assets must be divided into types to facilitate operations and obtain their reports. This field is defined in the Asset Types screen
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Number: A number that distinguishes each asset from others
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Statement: definition of the original
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Purchase date: original purchase date
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Beginning of depreciation for the current period: This date is used to calculate the depreciation. Usually the purchase date if the asset was purchased during the current year or the beginning date of the period if the purchase was made during a previous year
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Depreciation percentage: The default value of this field is taken from the Asset type screen and can be changed
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Locations: The location where the asset is located. A set of locations can be defined in the locations file
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Color: the color of the asset Custody of: the name of the employee responsible for this asset. This value is set automatically from the Trust Deed screen
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Note: any other notes
Fixed asset types file: Define fields
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Token: A unique token for each type of asset. Assets must be divided into types to facilitate operations and obtain their own reports
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Statement: Define the type of asset
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Depreciation percentage: The default value is specified for this type and can be changed for each asset separately
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Account number: the account number of the main asset of this type
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Depreciation Account: The asset's depreciation account number for this type. This account is for the asset's depreciation expense for the current year
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Accumulated Depreciation Account: The asset's accrued depreciation account number for this type. This account contains the cumulative values of depreciation for the current and previous years.
Restrict depreciation of fixed assets
This feature makes it possible to calculate the depreciation of assets up to a specific date
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From the main menu click on Fixed Assets >>> Restrict Fixed Asset Depreciations
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Enter the date to which you want to calculate the depreciation
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Enter the type of assets whose depreciation is to be restricted
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Click the Add All button to calculate the depreciation for all assets of the selected type
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Ensure that all entered values are correct
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Click Approval
Direct dealing with asset accounts
Sometimes, there is a need to adjust some asset account values.
This can be achieved through a daily entry screen as follows:
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From the main menu, click on Accounts >>> Journal Entry Voucher
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Enter the date and other data
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Enter the debit account number and then the amount debited or credited
Since the asset is defined by the assets file, the following format must be used for the account number
(Main asset account number - type number + asset number)
Example: If the main asset account number is 1102, the asset type number is 02, and the asset number is 2001
The original account number is 1102-022001
4. When finished, click Approve to restrict the process