Add an asset manually

You add an asset manually, after which you can depreciate it. Depending on the settings, Profit automatically determines the asset status.

If you add an asset manually then you must also manually journalise the purchase of the asset. You can combine these actions if you add the asset immediately when you journalise the purchase.

To add an asset manually:

1. Go to: Financial / Fixed assets / Asset.
2. Click on: New.
3. Deselect the Auto numbering check box if you want to enter the asset code yourself.
4. Select the asset group.
5. Enter a value in Date purchase and Date in use.

   The first depreciation period is based on the Date in use.

6. Complete the remaining fields.

   You can maintain the Location values yourself in the custom table Fixed asset location via General / Configuration / Custom table.

   The Reference number is of importance if different people/departments in your organisation add assets (for example both from within purchase invoices and using the assets registration).

7. Click on: Next.
8. Enter a value in Purchase value and Additional costs.

   Examples of additional costs are transport, purchase and installation costs; Profit will also depreciate these.

   You can allocate journal entries by selecting the codes in question. You must enter these codes if you have linked the asset to an asset group that contains allocated general ledger accounts.

   For a manually added asset without a purchase entry, no entry on the purchase value account is made. You must make this entry manually.

9. Click on: Next.
10. Select the Fisc. depreciation check box if you want to depreciate this asset.

    Profit copies the fields Asset type, Depreciation method and Depreciation period from the asset group selected in the first screen. You can change these values.

    Note:

    If you change an asset group, then the preferred values for these fields also change.

11. Select a value for Depreciation method.
12. Enter the number of years in Depreciation period.
13. Enter the Depreciation percentage per year.

    This percentage is only applicable for the depreciation methods Straight line depreciation percentage and Degressive method. Profit automatically calculates the percentage after the depreciation period is entered. You cannot change this percentage.

14. Enter the expected value at the end of the life span of the asset in the Residual value field.

    The entered value is an important factor in working out the calculation basis for depreciation.

    For the depreciation method Percentage of the book value asset sale, Profit automatically calculates the residual value.

15. Enter a value in Start date depreciation.

    This is the date when depreciation must take place for the first time.

    The Start date depreciation and the Depreciation period determine the End date depreciation.

    By default, Profit fills the Initial depreciation up to financial year field with the last blocked year (according to the fixed assets period table) if the Start date depreciation for the asset is before the last open financial year.

    By default, Profit fills the Initial depreciation up to period field with the last period of the last blocked year (according to the fixed assets period table) if the Start date depreciation for the asset is before the last open financial year.

16. Click on: Next.

    In this step you can record an image.

Click on: Finish.