FA acquisition and distribution of additional expenses

After creating a fixed asset card, its availability can be documented in the system by a purchase document: a Purchase Order or Invoice.

To create a Purchase Order:

1. Click to open Search, enter Purchase Order, follow the link.
2. On the order list page, click New to create a new order.
3. In the new order, select the vendor and indicate the document dates.
4. Fill in the following fields in the order lines:
   • in the Type field, select the Fixed Asset,
   • in the No. field, indicate the number of a newly created fixed asset,
   • indicate the FA cost in the Direct Unit Cost Excl. VAT field,
   • for fixed assets, the FA Location Code and Employee No. fields are mandatory.
5. To post the order, click Post > Receive and Invoice.

After FA acquisition document posting, its status will be changed to Inventory.

If, when acquiring FA, additional expenses were incurred, their amount can be attributed to FA or distributed to multiple FAs.

To post additional expenses, a Purchase Invoice is created:

1. In the invoice lines, Type field, select Charge (Item); in the No. field, select the expense number and indicate the quantity and direct cost of the unit without VAT.
2. In the invoice lines menu, click Functions > FA Charge Assignment.
3. In the FA Charge Assignment window, click Actions > Select FA and select one or multiple FAs from the suggested list.
4. Then click Actions > Suggest FA Charge Assignment and select the Equally or Amount distribution option. In case of even FA distribution, expenses are attributed to each FA in the selected list in equal parts, and with proportional distribution, the share of FA expenses that corresponds to the share of this FA in the selected list is attributed to each fixed asset.
5. After distributing the expenses, the invoice must be posted. Their amount will be added to the book value of fixed assets.

Note
FA expense distribution is possible only for fixed assets in the Inventory status, that is, for those that have not yet been put into operation.

See Also

Fixed Asset Card
Creating a Fixed Asset card
Creating depreciation templates
FA Release Act
Transfer Item to FA
FA Return to Vendor