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1. The detailed schedule displays the original depreciation calculation and any adjustments If you are using the units of production depreciation method you can also view the estimated actual and estimated accumulated units for each period Fig 3 19 Pale ES Fixed Asset Maintenance Fixed Asset Maintenance UserMenu Edit Queue Options Help Re EE IP Depreciation Query Depreciation Query Period Depreciation Accumulated Depreciation Net Book Value 199907 50 00 50 00 2 450 00 16 66 66 66 2 433 34 33 33 99 93 2 400 01 33 33 133 32 2 366 68 33 33 166 65 2 333 35 33 33 199 98 2 300 02 33 33 233 31 2 266 69 33 33 266 64 2 233 36 Detail vor End FAQAD 76 MFG PRO USER GUIDE FIXED ASSETS Choose the Detail function to view the detailed depreciation schedule Fig 3 20 Fixed Asset i Fixed Asset Maintenance BEE Maintenance UserMenu Edit Queue Options Help Depreciation Hp amp IP Schedule Asset 1 Computer Depreciation Schedule Period Reserve Type Location Period Depreciation 0 Summary Chicago 50 00 1999 08 9 Summary Chicago1 50 00 1999 08 1 Adjust Basis Chicago1 16 67 1999 08 1 Adjust Basis Chicago1 16 67 1999 09 9 Summary Chicago1 50 00 1999 09 1 Adjust Basis Chicago1 16 67 1999 10 0 Summary Chicagol 50 00 1999 10 1 Adjust Basis Chicago1 16 67 End Choose the UOP function to view the units of production UOP information Fig 3 21 Fixed A
2. 10 0009 10 0009 10 0009 10 0009 10 000 100 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 10 000 30 0009 30 0009 30 0009 30 0009 30 0009 30 000 30 000 30 0009 30 0009 30 0009 30 0009 30 0009 30 000 30 000 Update Add lt gt Delete End Year Enter a year for the asset s estimated life For example enter 1 if this is the first year of the asset s life This field cannot exceed the asset s estimated life plus one year Percentage Factor Enter a percentage factor to use for calculating the annual amount of depreciation The total percentage of each period column must equal 100 PREPARING TO USE FIXED ASSETS 27 Setting Up Fixed Asset Calendars Use Fixed Asset Calendar Maintenance 32 1 5 to set up optional fixed asset calendars for non posting books Use this program to add and delete fixed asset calendars You can use the Find function to go directly to a fixed asset calendar by entering the calendar ID You can associate a fixed asset calendar with non posting books in Book Maintenance 32 1 9 You cannot associate a fixed asset calendar with posting books Posting books automatically follow the GL calendar set up in GL Calendar Maintenance You cannot modify a fixed asset calendar after an asset has been assigned to a book that uses the calendar Fixed Asset Calendar Maintena
3. FAQAD 22 MFG PRO USER GUIDE FIXED ASSETS See Using Depreciation Methods on page 34 for more information Fig 2 3 Method Maintenance 32 1 1 FAQAD MFG PRO supports the following depreciation methods o a KK WO N Straight Line Units of Production Declining Balance Sum of the Years Digits Flat Rate Custom Table Method Maintenance Of x UserMenu Edit Queue Options Help Rp gt Ga IP ethod Active Description Straight Line Units Of Production Declining Balance Sum Years Digits Flat Rate Custom Table Straight Line Straight Line AT conv 1 Straight Line AT conv 2 Straight Line AT conv 3 Update Detail Table Copy Find Delete End Method Enter an identifier for the copied depreciation method This is a four character alphanumeric ID and cannot start with a zero Methods starting with a zero are MFG PRO supplied depreciation methods To use an MFG PRO supplied depreciation method you must copy it and then make it active Active Enter Yes if this depreciation method is active Enter No if it is not active Active is always set to No for MFG PRO supplied depreciation methods and cannot be changed After you copy the method you can set the Active flag to Yes PREPARING TO USE FIXED ASSETS 23 Note If you change this flag from Yes to No and this method is used by any classes update the classes to use another active method before using them again Otherw
4. FYQAD 58 MFG PRO USER GUIDE FIXED ASSETS Fig 3 3 Option Screen FAQAD Replacement Enter the replacement value for the asset This value is not used for any calculations but can be used for management purposes For example this value can be used to create budgets for assets replaced on a recurring basis Components Enter the number of items that belong to this asset ID For example if an asset is acquired that consists of 200 chairs the chairs can be grouped as one asset In this case set Components to 200 If you update the number of components in the Asset Component Maintenance screen this field is automatically updated Depreciate Asset If Yes this is a depreciable asset and must be assigned to a posting book Auth Number Optionally enter an authorization number for this fixed asset This field is for reference only Option Access this function by choosing Option on the Fixed Asset Maintenance header Figure 3 3 illustrates the different screens you can access with the navigation buttons Option Asset Account Maintenance Depreciation Books CREATING AND MANAGING FIXED ASSETS 59 Use this function to maintain optional asset data such as sort codes warranty date and an asset custodian Also specify the supplier and an associated PO or receiver number Fig 3 4 Fixed Asset Maintenance BEES Fixed Asset UserMenu Edi Queue Options Hel
5. Factor only applies to declining balance and flat rate depreciation methods Declining balance uses the factor percentage against the net book value of the asset at the beginning of each fiscal year Use Salvage This field indicates whether the depreciation method reduces the cost by the salvage value to calculate the depreciation basis Salvage value is the book value the asset is expected to have at the end of its expected life Actual Days If Yes the actual calendar days in the period that the asset is put into service are used when calculating the depreciation expense After the annual depreciation is calculated it is divided by a standard 365 to determine the calendar day depreciable expense Depreciation FYQAD 26 MFG PRO USER GUIDE FIXED ASSETS Fig 2 5 Method Maintenance Custom Table FAQAD expense for each period is defined as the number of calendar days in the period times the daily depreciation expense Expected Life Enter the expected useful life for assets depreciated by this method The expected life is used in calculating depreciation over the life of the asset This field is required if the depreciation method is a custom table Otherwise it is used as the default life for the method in Class Maintenance and Fixed Asset Maintenance Choose the Table function to create a custom depreciation table Method Maintenance el Ea UserMenu Edit Queue Options Help amp er Acquisition Period
6. gt gt gt gt gt gt 9 fa log01 yes no a log02 yes no a 10903 yes no fa log04 yes no fa qadcO1 x 20 a qadc02 x 8 a qaddO1 gt gt gt gt gt gt gt gt 9 99 10 fa qadi01 gt gt gt gt gt gt 9 fa qadl01 yes no a qadtO1 99 99 9999 Index Name Uni Field Name Asc Abbr 9 fa code no fa code yes no 9 fa desc no fa desc1 yes no 9 fa fabch id no fa fabch id yes no 9 fa fac id no fa facis id yes no 9 fa faloc id no fa faloc id yes no 0 fa id yes fa id yes no 9 fa post no fa post yes no NaAD 132 MFG PRO User Guide Fixed Assets FVYQAD Numerics 32 1 1 21 32 1 5 27 32 1 9 28 32 1 13 30 32 1 17 31 32 3 55 32 5 1 98 32 5 3 98 32 5 5 99 32 5 7 99 32 5 9 100 32 5 11 100 32 7 82 32 11 49 32 13 90 32 14 93 32 16 85 32 19 87 32 23 94 32 24 18 A accounts fixed asset 13 33 Acquisition Report 99 addresses locations fixed asset 30 archive delete fixed assets 94 archiving assets 94 Asset Depreciation Array Report 100 assets See fixed assets Assets Owned Report 100 Index B batch fixed assets 82 Book Maintenance 28 books fixed asset 28 Cc calendars fixed asset 27 Class Account Default Maintenance 33 Class Maintenance 31 class accounts 33 classes fixed asset 31 control file Fixed Assets 18 custom table depreciation method 40 D data definitions table definitions 116 database definitions 113 declining balance depreciation method 34 declining balance switch to straight
7. FIXED ASSETS Fig 1 1 Fixed Assets Work Flow FAQAD Introduction Fixed assets are tangible assets that a business uses to produce income Fixed assets represent a substantial financial investment for a business The costs of acquiring maintaining insuring and replacing fixed assets along with depreciation can have a substantial impact on both financial statements and tax liabilities Use Fixed Assets to set up maintain transfer and retire your company s fixed assets The Fixed Assets module is integrated with the General Ledger module Often depreciation is calculated one way for internal reporting and another way for tax purposes Using Fixed Assets you can set up asset records specifying how depreciation will be calculated for each kind of reporting Depreciation is calculated using either equations or tables Conventions can be used in conjunction with equations for depreciation calculations in the first last and disposal years of an asset s life Fixed Asset Work Flow Figure 1 1 summarizes the steps for setting up and managing your company s fixed assets uo Maintain fixed assets Set up control file Set up business rules Run reports on fixed assets Create and manage fixed assets INTRODUCTION TO FIXED ASSETS 9 Control File Setting up the control file defines system wide parameters for Fixed Assets You specify the following If asset IDs
8. The format is XXXXYY where XXXX is the year and YY is the period Actual Period Production Enter the actual number of units that this asset produced this period This number must be less than the remaining units for the asset CREATING AND MANAGING FIXED ASSETS 79 Asset Component Maintenance Access this function by choosing Detail on the Fixed Asset Maintenance header Figure 3 24 illustrates the different screens you can access with the navigation buttons Fig 3 24 Asset Component Asset Component Maintenance Maintenance Screen Use this function to maintain serial numbers tag numbers and costs for each asset or asset component For example if the fixed asset has separate components you can track the asset and all of its components If you want to modify an existing tag you must first delete it and then create a new tag When an asset is created the asset component records are automatically created based on the value entered in the Components field on the Fixed Asset Maintenance header screen FAQAD 80 MFG PRO USER GUIDE FIXED ASSETS Fig 3 25 Fixed Asset Maintenance Asset Component Maintenance FVYQAD Fixed Asset Maintenance Of x UserMenu Edit Queue Options Help Ra amp B IP Asset 2 Computer Asset Component Maintenance Cost Serial Number 625 00 625 00 625 00 625 00 625 00 625 00 625 00 625 00 Update Add Split J Delete End J Tag En
9. frame Print object Ctrl P Prints browse or maintenance information Help Keyboard Commands Entry Description Field Help Fl Opens help on current field Procedure Help Shift F1 Opens help on current program Browse Alt F1 Displays choice of records Look Up Browse Alt F2 Displays choice of records About Ctrl F1 Displays the program name Browse Options F7 Opens the browse options window Browse Options Toggle Esc F Turns the browse options on and off Browse Graph Shift F11 Opens the browse graphing window Field Name Ctrl F Displays the field name ABOUT THIS GUIDE 5 Edit Keyboard Commands Entry Description Delete Record F5 Deletes an open record Cut Ctrl X Cuts a field or selection to clipboard Copy Ctrl C Copies a field or selection to clipboard Paste Ctrl V Pastes data from the clipboard Character Keyboard Commands Navigation Keyboard Control Key Commands Entry Entry Description Go Fl Ctrl X Moves to next frame End F4 Ctrl E Exits a frame program or menu User Menu F6 Ctrl P Displays list of user selected programs Previous F9 or up arrow Ctrl K Retrieves previous record in a key data field and scrolls up in look up browses Next F10 or down Ctrl J Retrieves next record in a key data arrow field and scrolls down in look up browses Enter Enter Moves to next field within a frame Tab Tab Moves to next field within a frame Back Tab Shift Tab Ctrl U Moves back one field within a fram
10. s service life 150 5 years 30 Table 2 5 illustrates the declining balance depreciation schedule Table 2 5 Net Book Depreciation Depreciation Declining Balance Year Value Rate Calculation Expense Depreciation Schedule 1 20 000 30 20 000 30 6 000 2 14 000 3096 14 000 30 4 200 3 9 800 3096 9 800 3096 2 940 4 6 860 3096 6 860 3096 2 058 5 4 802 3096 4 802 3096 1 440 60 With the declining balance method 3 361 40 4 802 1 440 60 of the asset s cost is not depreciated This amount is used to calculate a gain or loss at the time of retirement NaAD 36 MFG PRO USER GUIDE FIXED ASSETS Declining Balance Switch to Straight Line The standard declining balance method does not depreciate the asset to Zero You can choose to switch the declining balance method to straight line method when the depreciation calculated by straight line method is greater than the depreciation calculated by the declining balance method This method fully depreciates the asset The declining balance switch to straight line method uses the same equations as the standard declining balance and straight line methods When the sum of depreciation is greater than the basis amount you use the following equation to calculate the last year of depreciation Depreciation Charge Depreciable Basis Accumulated Depreciation Fig 2 13 Switch to Straight Method Maintenance Line Option in UserMenu Edit Queue Op
11. transactions by entity Daybook Data Daybooks are used to group GL transaction for satisfying legal reporting requirements or for organizing GL reporting in a manner consistent with common business practices Set up daybooks in Daybook Maintenance 25 8 1 You can specify a daybook in Fixed Asset Transaction Post and it is used as the default for FA transaction types and FA document types All transactions created by Fixed Asset Transaction Post use this daybook If a default daybook is not defined for FA the system daybook is used Account Data Fixed Assets uses the following account data GL accounts Sub accounts Cost centers Project codes Define accounts in Account Code Maintenance 25 3 13 sub accounts in Sub Account Code Maintenance 25 3 17 cost centers in Cost Center Code Maintenance 25 3 20 and projects in Project Code Maintenance 25 3 11 In the Fixed Asset Control File 32 24 you optionally enter the GL account code sub account and cost center for tracking transfers of fixed assets between companies In Location Maintenance 32 1 13 you optionally enter a sub account and cost center for each location INTRODUCTION TO FIXED ASSETS 13 In Class Maintenance 32 1 17 you set up default GL accounts for each class Table 1 2 lists the account types you need to set up in Account Code Maintenance 25 3 13 Table 1 2 Account Types Debit Credit Description Fixed Asset Account
12. transactions for accumulated depreciation and depreciation expense accounts based on depreciation calculated for this book Posting books always follow the GL calendar Calendar Enter the calendar ID for the calendar you want associated See Setting Up with this non posting book Define calendar IDs in Fixed Asset CRM Calendar Maintenance If this field 1s blank the non posting book page 27 for more automatically follows the GL calendar information Description Enter up to 30 characters describing this fixed asset book This description displays on various reports and inquiries FAQAD 30 MFG PRO USER GUIDE FIXED ASSETS Fig 2 9 Location Maintenance 32 1 13 FAQAD Setting Up Locations Use Location Maintenance 32 1 13 to set up modify and delete fixed asset locations Use the Find function to view the Location Browse by location ID Asset locations identify the accounting location and entity of the fixed asset and the default sub accounts and cost centers for depreciation reporting Note In contrast to location IDs used elsewhere in MFG PRO fixed asset location IDs are generally used to locate an asset for tax and asset tracking purposes There is no connection between the fixed asset location and inventory location For example you cannot issue inventory from a fixed asset location Location Maintenance Of x UserMenu Edit Queue Options Help Location Corporate Office Entity 10
13. Certified Public Accountants AICPA Half Period Convention A half period s depreciation is calculated for the first and last period of the asset s life Half Quarter Convention A half quarter s depreciation is calculated for the first and last quarter of the asset s life Half Year Convention A half year s depreciation is calculated for the first and last year of the asset s life See also Modified Half Year Convention Version 1 and Modified Half Year Convention Version 2 ID An identification tag These are specific and unique identifiers Intangible Asset These are assets that provide future economic benefit but have no physical substance Examples include goodwill patents and trademarks Life Number of years used as a basis for depreciation calculations Location For fixed assets it identifies the accounting location and entity for the fixed asset There is no connection between the fixed asset location and inventory location Loss on Disposal Account A GL account used to track losses from fixed asset disposal FYQAD 106 MFG PRO USER GUIDE FIXED ASSETS Meter Measures the usage of a fixed asset Used by the units of production depreciation method Modified Half Year Convention Version 1 If the asset is put into service in the first half of the year a full year of depreciation is calculated If the asset is put in service in the second half of the year no depreciation is taken If the
14. Define accounts in Account Code Maintenance Fixed asset accounts default from Class Maintenance Sub Acct Optionally enter a sub account code that records transactions for this fixed asset book Define sub accounts in Sub Account Code Maintenance Fixed asset sub accounts default from Location Maintenance CC Optionally enter a cost center code that records transactions for this fixed asset book Define cost centers in Cost Center Code Maintenance Fixed asset cost centers default from Location Maintenance Project Optionally enter a project code that records transactions for this fixed asset book Define project codes in Project Code Maintenance Retirement Access this function by choosing Retire on the Option screen Use this function to retire an asset Retirement removes the asset s acquisition cost from the books and posts any gains or losses to the GL Note If depreciation has not been posted for this asset delete the asset instead of retiring it After retiring the asset the system calculates and displays values for Basis Amount Accumulated Depreciation Net Amount and Gain Loss on Disposal Appropriate GL retirement transactions and reversing transactions are created to void future depreciation periods You can view the adjustments on the Depreciation Query screen by choosing the Audit function on the Depreciation Books screen Run Fixed Asset Transaction Post to create unposted transactions After you run Fixed Asset
15. Options Help Eo 0 Asset FI Computer 1 Class COMP Components 1 Location Chicagol Depreciate Asset yes Entity 1000 Posted yes Service Date 07 01 1999 Auth Number Cost 3 500 00 Disposition Date Salvage 500 00 Disposition Reason Replacement 3 500 00 Sold For 0 00 Depreciation Books 07 01 1999 1 3 500 00 3 450 00 1999 07 07 01 1999 1 3 500 00 3 450 00 1999 07 Update Add Option Books Detail Find Delete End J Asset Enter a unique alphanumeric asset ID for the fixed asset if Auto Generate Asset is No in the Fixed Asset Control File Duplicate asset IDs are not allowed If Auto Generate Asset is Yes in the Fixed Asset Control File the system automatically assigns an asset ID using the predefined Number Range Management sequence Description Enter up to 50 characters describing the fixed asset CREATING AND MANAGING FIXED ASSETS 57 Class Enter a predefined class ID Define class IDs in Class Maintenance If you change the class before the asset has been posted the depreciation schedule is updated with the new values Important If you change the class after the asset is created the accounts are not automatically updated Location Enter a predefined location ID Define location IDs in Location Maintenance You cannot update the location if the asset has been posted to the GL Important If you change the location after the asset is created the sub accounts and cost centers are
16. Transaction Post you must run Transaction Post 25 13 7 to update the GL FYQAD 62 MFG PRO USER GUIDE FIXED ASSETS Fig 3 6 Fixed Asset Maintenance Retirement FAQAD Fixed Asset Maintenance lel Ea UserMenu Edit Queue Options Help Rp P Retirement Asset EEUU Asset ADT Disposition Date Disposition Reason Sold For 0 00 Partial no Depreciation Books Basis Amount Accum Dep 9 899 77 9 899 77 9 899 77 9 899 77 10 000 00 10 000 00 9 899 77 9 899 77 Update Undo Books End Disposition Date Enter the disposal date for the asset The disposal date is the date the asset is removed from service and ownership interest is relinquished If the asset is suspended as of the disposal date you must reinstate the asset before retiring it The date must be a valid date in the GL calendar or any fixed asset calendar associated with the book It must also be in an open GL period and must be after the service date Disposition Reason Enter the reason for the disposal of the asset The field is validated against codes set up in Generalized Codes Maintenance for field fa disp rsn Disposition reason is the reason the asset is removed from service and ownership interest relinquished Examples of disposition reasons are sold stolen destroyed donated and impaired Sold For Enter the amount received for the disposal of the asset This amount is optional and used when calculating the gain or los
17. Types Asset Account Debit Tracks the acquisition cost of a fixed asset Accumulated Expense Credit Tracks the amount of depreciation that has accumulated and been posted since the start of the depreciation calculation Periodic Expense Debit Tracks the amount of depreciation expense for the accounting period Construction in Process Credit Tracks the purchase cost of a fixed asset Gain on Disposal Credit Tracks gains from fixed asset disposal Loss on Disposal Debit Tracks losses from fixed asset disposal Asset Suspense Debit Tracks the remaining value of fixed asset when it is disposed In Fixed Asset Maintenance 32 3 you can modify the default account data for each individual asset You can also add a project code Navigation The Fixed Assets module contains navigation buttons that are used to modify information or access additional screens within a program The buttons are located at the bottom of the screen There are standard buttons and program specific buttons The standard buttons include Update Update change or correct an entry Add Add a new record Delete Delete a record End Return to the previous function Use the arrow keys or tab keys to access the buttons Press Enter or Go to to perform the button s function In addition to navigation buttons there is a PROGRESS status bar which displays the relevant keyboard commands for each program FAQAD 14 MFG PRO USER GUIDE FIXED ASSETS F
18. Uni Field Name Asc Abbr 9 fabd entity no fabd entity yes no 9 fabd fa id no fabd fa id yes no fabd fabk id yes no abd yrper yes no abd resrv yes no fabd seq yes no 9 fabd glseq no fabd glseq yes no 9 fabd post no abd post yes no 9 fabd resrv no abd resrv yes no 9 fabd rt period no fabd rt period yes no 0s fabd seq yes fabd seq yes no 9 fabd suspend no abd suspend yes no 9 fabd trn entity no abd trn entity yes no 9 fabd yrper no fabd fabk id yes no fabd yrper yes no abd post yes no o fabk mstr Fixed Asset Book Master Field Name Label Col Label Format Dec abk calendar Calendar x 8 abk desc Description x 35 abk id Book x 4 abk mod date Modified Date Mod Date 99 99 9999 abk mod userid User ID x 8 abk post Post yes no abk seq Sort gt gt 9 abk user1 Ufld1 x 8 abk user2 Ufld2 x 8 abk chr01 x 8 abk__dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abk dte01 99 99 9999 abk__intO1 gt gt gt gt gt gt 9 abk__log01 yes no abk qadcO1 x 20 abk__qadco2 x 20 abk__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abk__gadi01 gt gt gt gt gt gt 9 abk qadl01 yes no abk gadt01 99 99 9999 FAQAD Database Definitions 121 Index Name Field Name Asc Abbr fabk id fabk id yes no fabk seq fabk seq yes no fab det Fixed Asset Book Detail Field Name Label Col Label Format Dec fab amt Cost gt gt gt gt gt gt gt gt gt 9 99 lt 10 ab cst adjper Adjust Year Period Adj Yr Per x 6 ab da
19. Use Retired Asset Delete Archive 32 23 to delete and archive retired assets MFG PRO does not automatically delete historical information at period or year end It is up to you to delete this information as frequently or as infrequently as you prefer Most companies keep historical information for at least one year or longer depending on availability of disk space Usually a delete archive function is run twice First run it with Delete set to No and review the report Then run it with Delete set to Yes General Ledger Transaction Void Of x UserMenu Edit Queue Options Help Entity 1000 To 1000 Asset To Year Period 199708 Effective 08 03 1999 Daybook Void Transactions yes Output me l BathiD Disposition Date To Enter a range of disposition dates to select retired assets to delete or archive Disposition Reason To Enter a range of disposition reasons to select retired assets to delete or archive Asset To Enter a range of asset IDs to select retired assets to delete or archive MAINTAINING FIXED ASSETS 95 Class To Enter a range of class IDs to select retired assets to delete or archive Location To Enter a range of location IDs to select retired assets to delete or archive Delete This field indicates whether to delete the selected records without generating a report Yes The selected records are deleted from your database If you set Archive to Yes the selected records are
20. a constant percentage and multiplying it by the depreciable basis over the asset s service life until the sum of the depreciation is greater than the basis amount At this time the final year of depreciation is adjusted so that the total of depreciation equals the basis amount The formula for flat rate depreciation is Depreciation Charge Depreciable Basis Flat Rate Percentage Depreciable Basis Cost Salvage Value When the sum of depreciation is greater than the basis amount you use the following equation to calculate the last year of depreciation Depreciation Charge Depreciable Basis Accumulated Depreciation Example A company purchases a 20 000 car that has a 2 000 salvage value and a five year service life The annual flat rate is 23 6 PREPARING TO USE FIXED ASSETS 39 Table 2 8 illustrates the flat rate depreciation schedule Table 2 8 Depreciation Accumulated Flat Rate Year Flat Rate Calculation Expense Depreciation Depreciation Schedule 1 23 6 18 000 23 6 4 248 4 248 2 23 6 18 000 23 6 4 248 8 496 3 23 6 18 000 23 6 4 248 12 744 4 23 6 18 000 23 6 4 248 16 992 5 18 000 16 992 1 008 18 000 In year 5 the accumulated depreciation exceeds the asset s depreciable basis The depreciation charge is adjusted in year 5 Units of Production Units of production calculates depreciation based on items produced or units consumed from the asset The formulas for unit
21. amp er Retirement Asset ERE come Disposition Date 08 01 1999 New Asset ID 23 Percent 0 00 Component Selection Amount Serial 2 0001 625 00 2 0002 625 00 2 0003 625 00 2 0004 625 00 2 0005 625 00 2 0006 625 00 2 0007 625 00 2 0008 625 00 Fig 3 7 Fixed Asset Maintenance Partial Retirement Fig 3 8 Fixed Asset Maintenance Component Selection FAQAD 64 MFG PRO USER GUIDE FIXED ASSETS Fig 3 9 Fixed Asset Maintenance Asset Transfer FAQAD Sel This field indicates whether to split this component Press the spacebar or Enter key to select the components you want to split An asterisk indicates selection Asset Transfer Access this function by choosing Tran on the Option screen Use this function to transfer an asset from one predefined location to another The asset is transferred when you choose Move Appropriate unposted transaction are created when you run Fixed Asset Transaction Post The new sub account and cost center default from the new location The new cost center and sub account combination is validated with the accounts associated with the asset if Verify GL Accounts is Yes in the System Account Control File You cannot complete the transfer if there is an invalid combination Fixed Asset Maintenance Bel Es UserMenu Edit Queue Options Help Ro amp amp IP Asset Transfer Asset Old Entity 3000 Old Location CA 1000 0300 SF New Location NJ 200
22. are generated by the system or assigned manually If the system creates summary or detailed journal entries for fixed asset general ledger GL transactions The account sub account and cost center for intercompany transfers Business Rules Setting up business rules lets you define your accounting needs and customize Fixed Assets to meet your specific needs Business rules provide defaults for assets entered in Fixed Asset Maintenance 32 3 and Fixed Asset Batch Maintenance 32 7 Create and Manage Fixed Assets You can enter fixed assets into the system individually or in a batch After you create assets you can perform the following functions Maintain asset account information Retire or transfer an asset Enter asset comments Maintain user fields for customizations Maintain insurance data Adjust depreciation books Adjust posted depreciation Maintain book detail e Maintain information for the units of production depreciation method Maintain information about the asset s components Divide an asset into two separate assets You can also retire or transfer a group of assets gt See Chapter 2 Preparing to Use Fixed Assets on page 17 for details gt See Chapter 2 Preparing to Use Fixed Assets on page 17 for details gt See Chapter 3 Creating and Managing Fixed Assets on page 53 for details NOQAD 10 MFG PRO USER GUIDE FIXED ASSETS See Chapter 4 Main
23. asset is disposed of in the first half of the year no depreciation is calculated for the year If the asset is disposed of in the second half of the year a full year s depreciation is taken Modified Half Year Convention Version 2 If the asset is put into service in the first half of the year a full year of depreciation is calculated If the asset is put in service in the second half of the year a half year s depreciation is calculated If the asset is disposed of in the first half of the year no depreciation is calculated for the year If the asset is disposed of in the second half of the year a half year s depreciation is calculated Override Depreciation The amount of depreciation previously taken in another fixed assets system Net Book Value The fixed asset s acquisition cost minus accumulated depreciation Next Period Convention A full period s depreciation is calculated for the period following the period that the asset was placed into service A full period s depreciation is taken in the last period of the asset s life Non Accelerated Depreciation Depreciation methods that divide the amount of depreciation equally over the life of the asset An example is the straight line method Non Depreciable Assets Assets that have characteristics of a fixed asset but cannot be depreciated Generally these assets include FAQAD Property placed in service and disposed of in the same taxable year Tangible pr
24. av s 2 Other 9 0 Documentation avuuuaavvvanv vr n naar es 2 Online Help ecc Eee Ex ER Gent skr ane das 2 OAD WebSite iu npe eia eg Eg bd Ra eer erc ida BS 3 Conventions 22s ees eee RO a Po Edo ds 3 Windows Keyboard Commands 0 0 cece eee eee 4 Character Keyboard Commands lille 5 CHAPTER 1 INTRODUCTION TO FIXED ASSETS lt lt lt 7 Introduction 12 25 RU aint MP SUCEDER A LR REV UR eS 8 Fixed Asset Work Flow 0 0 0 0 00 res 8 Control File 2 3 20 iih paa DIR RE i a Set dhe Pa oia paredes 9 Bu siness Rule8 22 obe bv ed api reet are me e es 9 Create and Manage Fixed Assets 00 00 ce cence eens 9 Maintain Fixed Assets o o oooooooooooo eee eee nee 10 Fixed Asset Reports 0 0 cece eee eens 10 Fixed Asset Programs iussu pube b ESPERE kd ADR 10 MEG PRO Base Data c oues RR Od eiker eed ee dekar ots 11 Entity Data dre t a e abe es ud he 43 12 Daybook Data exer ELE DERE rar erede S eee 12 Account Data iio iR bee sere RI PUDE PCM de 12 rcu maes dr al 13 Validated Fields i uscire eene bla PIG ea DIS 14 IV MFG PRO USER GUIDE FIXED ASSETS Language Detail Codes ru cic ee sese emere Ree etna 15 CHAPTER 2 PREPARING TO USE FIXED ASSETS Lise 17 Introduction oor b s BO 3o e d nonce P RR Ren Gale 18 Setting Up Control File Parameters lslseeeeeeeeeeA 18 Setting Up Business Rules 0 0 0 eee eee ee 20 Setting Up Methods 0 0 e
25. copied to an ASCII file before deletion Use Archive File Reload to reload the data if needed No The selected records are not deleted A report is generated listing the selected records Archive This field indicates whether to archive the selected records Yes The selected records are copied to an ASCII file The system creates a file name in the following format faY YMMDD hst where YYMMDD is the file creation date If this file does not exist it is created If it does exist it is modified No The selected records are not copied to an ASCII file You should keep a record of the name of the file and its contents because there is no label within the file The name of the file only identifies the module and the date the file was created If you need to reload particular data you must know the correct filename NaAD 96 MFG PRO USER GUIDE FIXED ASSETS FVYQAD CHAPTER 5 Fixed Assets Reports Periodic Activity Report 98 Depreciation Adjustment Report 98 Acquisition Report 99 Depreciation Expense Report 99 Asset Depreciation Array Report 100 Assets Owned Report 100 98 MFG PRO USER GUIDE FIXED ASSETS Fig 5 1 Periodic Activity Report 32 5 1 Fig 5 2 Depreciation Adjustment Report 32 5 3 FAQAD Periodic Activity Report Use Periodic Activity Report 32 5 1 to review asset activity for a period by entity The report shows the assets cost at the beginning of the period cost of acquisitio
26. fa disp rsn This is the reason the asset is removed from service and ownership interest relinquished Examples of disposition reasons are sold stolen destroyed donated and impaired Sold For Enter the amount received for the disposal of the asset This field is optional FAQAD 88 MFG PRO USER GUIDE FIXED ASSETS Fig 3 33 Fixed Asset Retirements Select Assets to Retire FVYQAD The disposition amount is assigned to each asset that you are retiring This amount is used when calculating the gain or loss on the disposition of an asset Select All This field indicates whether the assets matching the selection criteria are automatically selected to retire Yes All assets matching the selection criteria are selected to retire You can modify the assets on the Select Assets to Retire screen No Assets are not automatically selected You must manually select the assets on the Select Assets to Retire screen Fixed Asset Retirements el Es UserMenu Edit Queue Options Help Select Assets to Retire Description Serv Date Basis Amount Net Book Value Computer 07 01 1999 2 000 00 1 950 00 Computer 07 01 1999 4 750 00 4 670 83 Asset AD3 07 11 1997 9 857 77 9 745 32 Asset AD1 07 03 1997 9 899 77 9 743 16 Asset AD3 07 11 1997 9 857 77 9 745 32 Asset AD1 07 03 1997 9 899 77 9 743 16 Asset AD3 07 11 1997 9 852 71 9 745 32 Sel This field indicates whether to retire this component Press the spacebar or Enter key to
27. life Life gt gt 9 99 lt 10 aadj migrate Migrated yes no aadj mod date Modified Date Mod Date 99 99 9999 aadj mod userid User ID x 8 aadj resrv Reserve gt gt gt gt gt gt 9 aadj type Adj Type x 2 aadj user1 Ufld1 x 8 aadj user2 Ufld2 x 8 aadj yrper Year Period Yr Per x 6 aadj chrO1 x 8 aadj dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 aadj dte01 99 99 9999 aadj intO1 gt gt gt gt gt gt 9 aadj log01 yes no aadj__qadc01 x 20 aadj__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 aadj__qadi01 gt gt gt gt gt gt 9 aadj__qadl01 yes no aadj qadt01 99 99 9999 FAQAD Database Definitions 117 Index Name Uni Field Name Asc Abbr 0 faadj fa id yes faadj fa id yes no faadj fabk id yes no faadj resrv yes no o faba det Fixed Asset Account Detail Field Name Label Col Label Format Dec aba acct Account x 8 aba acctype Account Type Type x 2 faba cc Cost Center CC x 4 faba fa id Asset x 12 aba glseq Account Sequence Seq gt gt gt gt gt gt gt gt 9 aba mod date Modified Date Mod Date 99 99 9999 faba mod userid User ID x 8 faba proj Project X 8 aba sub Sub Account Sub Acct x 8 aba user1 Ufld1 x 8 faba user2 Ufld2 x 8 faba chrO1 x 8 aba dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 aba dte01 99 99 9999 faba int01 gt gt gt gt gt gt 9 faba 1og01 yes no aba qadcO1 x 20 aba__qadd01 gt gt gt gt gt gt gt gt gt 9
28. line depreciation method 36 delete archive fixed assets 94 depreciation adjustments 72 books 28 conventions 23 full period 23 full quarter 23 full year 24 half period 23 half quarter 24 half year 24 FAQAD 134 MFG PRO USER GUIDE FIXED ASSETS modified half year version 1 24 modified half year version 2 24 next period 23 meters 49 methods 21 custom table 40 declining balance 34 declining balance switch to straight line 36 flat rate 38 straight line 34 sum of the years digits 37 units of production 39 Depreciation Adjustment Report 98 Depreciation Expense Report 99 F Fixed Asset Account Detail 117 Fixed Asset Adjustment Master 116 Fixed Asset Batch Detail 117 Fixed Asset Batch Maintenance 82 Fixed Asset Batch Master 118 Fixed Asset Book Default Master 125 Fixed Asset Book Depreciation Detail 119 Fixed Asset Book Detail 121 Fixed Asset Book Master 120 Fixed Asset Calendar Detail 122 Fixed Asset Calendar Maintenance 27 Fixed Asset Calendar Master 124 Fixed Asset Class Account Detail 122 Fixed Asset Class Master 123 Fixed Asset Component Detail 125 Fixed Asset Control File 18 Intercompany Account 19 Fixed Asset Control Table 124 Fixed Asset Custom Table Detail 127 Fixed Asset Location Master 126 Fixed Asset Maintenance 55 frames asset account maintenance 60 asset component maintenance 79 book detail 74 depreciation adjustment 72 depreciation books 70 depreciation query 75 depreciation schedule 76 header 55 i
29. select the components you want to retire An asterisk indicates selection CHAPTER 4 Maintaining Fixed Assets This chapter describes how to maintain fixed assets Creating Fixed Asset Transactions 90 GL Transactions in Fixed Assets 92 Voiding GL Transactions 93 Deleting and Archiving Fixed Assets 94 90 MFG PRO USER GUIDE FIXED ASSETS See page 93 for information FAQAD Creating Fixed Asset Transactions Use Fixed Asset Transaction Post 32 13 to create unposted fixed asset transactions for assets by entity Transactions are created for acquisition depreciation expenses transfer retirement of assets and adjustments After you run Fixed Asset Transaction Post you must run Transaction Post 25 13 7 to update the general ledger GL At the end of each reporting period run Fixed Asset Transaction Post to create unposted fixed asset transactions An audit trail report is created before creating unposted transactions If necessary make adjustments in Fixed Asset Maintenance and rerun Fixed Asset Transaction Post for that period Accumulated depreciation and depreciation expenses from the posting book update the asset s accounts sub accounts cost centers and projects Fixed Asset Transaction Post creates unposted transactions for the following fixed asset accounts Asset Accumulated Expense Periodic Expense Construction in Process Gain on Disposal Loss on Disposal Asset Suspense
30. the second half of the year a full year of depreciation is taken The remaining depreciation for the year is added to the retirement period FAQAD 48 MFG PRO USER GUIDE FIXED ASSETS Table 2 21 Modified Half Year Version 1 Depreciation FAQAD Table 2 21 illustrates the depreciation taken for each period Period 1999 2000 January 0 100 February 0 100 March 120 100 April 120 100 May 120 100 June 120 100 July 120 100 August 120 100 September 120 100 October 120 300 November 120 0 December 120 0 Modified Half Year Version 2 The computer is placed into service on March 14 1999 and it is retired on October 13 2000 The depreciation for the 10 periods of ownership calculations are Depreciation Per Period 1 200 10 120 The retirement depreciation calculation is Depreciation 1 200 2 600 When the computer is retired 900 of depreciation has already been taken and only 600 is allowed in the retirement year Depreciation must be reversed in the retirement period Therefore a depreciation expense credit of 300 900 600 is applied in the retirement period PREPARING TO USE FIXED ASSETS 49 Table 2 22 illustrates the depreciation taken for each period Period 1999 2000 January 0 100 February 0 100 March 120 100 April 120 100 May 120 100 June 120 100 July 120 100 August 120 100 September 120 100 October 120 300 November 120 0 Dece
31. the steps required to set up the business rules Fig 2 2 Business Rules Set up methods in Method Work Flow Maintenance I Set up locations in Location Maintenance Set up calendars in Fixed Asset Calendar Maintenance Set up classes in Class Maintenance Set up books in Book Maintenance Optional Setting Up Methods Use Method Maintenance 32 1 1 to specify the depreciation methods that your company uses Depreciation allocates an asset s cost to periods in its service life Depreciation affects both tax and financial reporting Before you can use one of the supplied methods you must copy it and give it a new ID After the method is copied you can update modify or delete the copied method Active depreciation methods are assigned to assets in Fixed Asset Maintenance and can be assigned as class defaults in Class Maintenance Methods identify how annual depreciation is calculated for the asset You cannot modify methods that are assigned to assets There are several methods for calculating depreciation Assets can have depreciation calculated one way for tax reporting purposes and another for financial purposes Depreciation methods for tax purposes are usually based on the type of asset and the tax laws in effect when the asset was placed in service Depreciation methods for financial or management purposes usually follow generally accepted accounting practices and policies
32. to measure asset usage for the units of production depreciation method You can attach a meter to an asset or group of assets to collect the usage in Fixed Asset Maintenance Total Units Enter the estimated total number of units that this asset is expected to produce during its service life Important If you modify this number all unposted periods are automatically adjusted Estimated Units Enter the estimated number of units that this asset is expected to produce each period This amount must be less than the total units FAQAD 78 MFG PRO USER GUIDE FIXED ASSETS Fig 3 23 Fixed Asset Maintenance Depreciation Schedule FAQAD Unit of Measure Enter the unit of measure for this asset s units for example inch or foot Cost Enter the cost to acquire this asset This amount cannot be less than the amount of depreciation already taken for this asset Choose the Actual function to track the actual period of production o x Fixed Asset Maintenance UserMenu Edit Queue Options Help Ro amp er Units of Production Asset Ex Total Units 77 777 777 Book NPOS Period Units 1 000 000 Unit of Measure ea Eff Period Meter Cost 5 555 72 Unit Cost 0 000071 Salvage 0 00 Depreciation Schedule Yr Per Actual Units Consumed 199901 o 9 199907 1 500 000 1 500 000 199908 1 450 000 2 950 000 Update Actual End Yr Per Enter the year and the period for the actual period of production
33. x 12 a facls id Class x 8 a faloc id Location x 8 a id Asset x 12 a insamt Insurance Value gt gt gt gt gt gt gt gt gt 9 99 lt 10 a ins co Insurance Company x 24 a ins date Insurance Date 99 99 9999 a ins nbr Insurance Number x 12 a migrate Migrated yes no a mod date Modified Date Mod Date 99 99 9999 a mod userid User ID x 8 a parent Parent x 12 a po PO Number x 8 a post Posted yes no a puramt Cost gt gt gt gt gt gt gt gt gt 9 99 lt 10 a aty Components gt gt gt 9 a receiver Receiver x 8 a replamt Replacement gt gt gt gt gt gt gt gt gt 9 99 lt 10 a salvamt Salvage gt gt gt gt gt gt gt gt gt 9 99 lt 10 a split date Split Date 99 99 9999 a split from Split From x 12 a startdt Service Date Serv Date 99 99 9999 a useri Ufld1 x 8 a user2 Ufld2 x 8 a vendsrc Supplier x 8 a wardt Warranty Date Warr Date 99 99 9999 a chrO1 x 8 a chr02 x 8 a__chr03 x 8 a chr04 x 8 a decO1 gt gt gt gt gt gt gt gt 9 99 10 a dec02 gt gt gt gt gt gt gt gt gt 9 99 lt 10 a dec03 gt gt gt gt gt gt gt gt gt 9 99 lt 10 a dec04 gt gt gt gt gt gt gt gt gt 9 99 lt 10 a dte01 99 99 9999 FAQAD Database Definitions 131 Field Name Label Col Label Format Dec a dte02 99 99 9999 a dte03 99 99 9999 fa dte04 99 99 9999 fa intO1 gt gt gt gt gt gt 9 a int02 gt gt gt gt gt gt 9 a intO3 gt gt gt gt gt gt 9 fa int04
34. x 4 fadf mod date Modified Date Mod Date 99 99 9999 adf mod userid User ID x 8 adf user1 Ufld1 x 8 fadf user2 Ufld2 x 8 fadf chrO1 x 8 adf decO1 gt gt gt gt gt gt gt gt 9 99 10 adf dte01 99 99 9999 fadf int01 gt gt gt gt gt gt 9 fadf log01 yes no adf qadc01 x 20 adf qadd01 gt gt gt gt gt gt gt gt 9 99 10 fadf__qadi01 gt gt gt gt gt gt 9 fadf__qadI01 yes no adf__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr Q fadf fac id yes fadf facis id yes no fadf fabk id yes no o fad det Fixed Asset Component Detail Field Name Label Col Label Format Dec ad desc Description x 20 ad fa id Asset x 12 fad mod date Modified Date Mod Date 99 99 9999 fad mod userid User ID x 8 ad puramt Cost gt gt gt gt gt gt gt gt gt 9 99 lt 10 ad serial Serial Number x 20 fad tag Tag x 16 fad user1 Ufld1 x 8 ad user2 Ufld2 x 8 ad chrO1 x 8 fad dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 FA QAD 126 MFG PRO User Guide Fixed Assets FAQAD Field Name Label Col Label Format Dec fad dte01 99 99 9999 fad int01 gt gt gt gt gt gt 9 fad 1log01 yes no fad__qadc01 x 20 fad__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 fad__qadi01 gt gt gt gt gt gt 9 fad gadl01 yes no fad__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr 9 fad fa id no fad fa id yes no fad tag yes no os fad tag yes fad tag yes no o faloc mstr Fixed Asset Location M
35. 0 AD 0101 0002 1 000 00 AD 0101 0003 1 000 00 AD 0101 0004 1 000 00 AD 0101 0005 1 000 00 AD 0101 0006 1 000 00 AD 0101 0007 1 000 00 AD 0101 0008 1 000 00 AD 0101 0009 1 000 00 AD 0101 0010 1 000 00 Sel This field indicates whether to split this component Press the spacebar or Enter key to select the components you want to split An asterisk indicates selection Transaction Comments Access this function by choosing Cmmts on the Option screen Use this function to enter comments about the asset You can print these comments on various fixed asset reports Fixed Asset Maintenance olx UserMenu Edit Queue Options Help Ro IP Transaction Comments Page I Master Reference Language Type Page ASSET CREATED ON 8 1 99 CREATING AND MANAGING FIXED ASSETS 67 Master Reference To copy master comments enter the reference code identifying the master comment Reference codes identify a master comment usually identifying the topic of the comment perhaps by the item number or address code to which the comment text applies Leave blank to enter your own comments Type Enter the type code for this comment Type codes group similar comments Type code can identify the source or use of the comment Type can be left blank This field is validated against codes set up in Generalized Codes Maintenance for field cd type Language Enter a predefined language code for this master comment Language codes identify the
36. 0 0300 Ridgewood New Entity 4000 New Sub Account 2000 New Cost Center 0300 Partial no Transfer Date 07 01 1999 Update Move End New Location Enter a predefined location for the transferred asset Define locations in Location Maintenance The entity cost center and sub account associated with this new location default for the transferred asset CREATING AND MANAGING FIXED ASSETS 65 New Sub Account Enter a predefined sub account Define sub accounts in Sub Account Code Maintenance The default is the new location s sub account New Cost Center Enter a predefined cost center Define cost centers in Cost Center Code Maintenance The default is the new location s cost center Partial If Yes this is a partial transfer and you split the existing asset into two separate assets The new asset created is transferred Transfer Date Enter the effective date for the transfer This date determines the year and period of the GL transaction The transfer date must be a valid date in the GL calendar and any fixed asset calendars associated with the asset s books It must also be in an open GL period and must be after the service date If this is a partial transfer and the asset has only one component enter either a percentage of the original cost in the Percent field or a currency amount in the Amount field Fig 3 10 Fixed Asset Maintenance olx Fixed Asset UserMenu Edi Queue Options Help Maintenance Part
37. 00 Sub Account 1000 Cost Center 0200 Address 6450 Via Real City Carpinteria State CA Post 93013 County Country USA Telephone Fax Telex Add Find Delete End Location Enter a unique ID identifying a fixed asset location Description Enter up to 32 characters describing this fixed asset location Entity Enter the predefined entity code for this location Sub Account Optionally enter a sub account code This sub account defaults for assets entered in Fixed Asset Maintenance for this location PREPARING TO USE FIXED ASSETS 31 Cost Center Optionally enter a cost center code This cost center defaults for assets entered in Fixed Asset Maintenance for this location Setting Up Classes Use Class Maintenance 32 1 17 to set up modify and delete fixed asset classes Also set up default depreciation books and GL accounts Depreciation for assets in the same class generally affects the same GL accounts for the asset investment accumulated depreciation and depreciation expense Primary criteria for a class are tems are similar and grouping is reasonable tems are related for accounting purposes affecting the same GL accounts These accounts are set as the default entries for the class tems use the same books tems have the same service lives for calculating depreciation tems use the same depreciation methods for both book and tax purposes After you set up a class assets can be
38. 07 01 1999 Cost 3 500 00 Salvage 500 00 Replacement 3 500 00 Depreciation Books Book Serv Date Method E yes yes Net Book Value As Of 07 01 1999 1 Tax 07 01 1999 1 Add Adjust Detail Audit vor Delete End Book Enter a predefined book ID Define books in Book Maintenance An asset must have a posting book to record fixed asset transactions in the GL An asset can be depreciated under an unlimited number of non posting books Serv Date Enter the date that depreciation calculation starts The service date must be a valid date in the GL calendar or in the fixed asset calendar associated with the book if 1t is a non posting book Method Enter an active depreciation method ID Set up methods in Method Maintenance The ID is a four character alphanumeric ID and cannot start with a zero Life Enter the expected useful life for assets depreciated by this method The expected life is used in calculating depreciation over the life of the asset Cost Enter the acquisition cost This amount is used to determine the basis for the book The default is the cost from the Fixed Asset Maintenance header Fig 3 16 Fixed Asset Maintenance Depreciation Books See Setting Up Books on page 28 for information See Setting Up Methods on page 21 for information FAQAD 72 MFG PRO USER GUIDE FIXED ASSETS Fig 3 17 Fixed Asset Maintenance Depreciation Adjustments g
39. 99 99 9999 Index Name Uni Field Name Asc Abbr 0s famt id yes famt id yes no o fauop det Fixed Assets UOP Forecast Detail Field Name Label Col Label Format Dec auop accup Accumulated gt gt gt gt gt gt gt gt gt 9 fauop fabk id Book x 4 fauop fa id Asset x 12 auop mod date Modified Date Mod Date 99 99 9999 auop mod userid User ID x 8 fauop upper Estimated gt gt gt gt gt gt gt gt gt 9 fauop_user1 Ufld1 x 8 auop user2 Ufld2 x 8 auop yrper Year Period Yr Per x 6 fauop chr01 x 8 fauop dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 auop dte01 99 99 9999 auop int01 gt gt gt gt gt gt 9 fauop log01 yes no fauop__qadc01 x 20 auop qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 auop qadiO1 gt gt gt gt gt gt 9 fauop__qadl01 yes no fauop__qadt01 99 99 9999 FA QAD 130 MFG PRO User Guide Fixed Assets Index Name Uni Field Name Asc Abbr Os fauop fa id yes fauop fa id yes no fauop fabk id yes no fauop yrper yes no o fa mstr Fixed Asset Master Field Name Label Col Label Format Dec a auth number Auth Number x 8 a cmtindx Comment Index Comment gt gt gt gt gt gt gt 9 a_code Sort Code x 10 a_custodian Custodian x 8 a_dep Depreciate Asset Dep yes no a desc1 Description x 50 a dispamt Sold For gt gt gt gt gt gt gt gt gt 9 99 lt 10 a disp dt Disposition Date Disp Date 99 99 9999 a disp rsn Disposition Reason x 8 a entity Entity Enty x 4 a fabch id Batch
40. 99 lt 10 faba__qadi01 gt gt gt gt gt gt 9 faba qadi01 yes no aba qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr 9 faba acctype no faba acctype yes no 0 faba fa id yes faba fa id yes no faba acctype yes no faba glseq yes no o fabchd det Fixed Asset Batch Detail Field Name Label Col Label Format Dec fabchd desc Asset Description X 50 fabchd fabch id Batch x 12 fabchd facls id Class x 8 fabchd faloc id Location x 8 fabchd fa id Asset x 12 fabchd insamt Insurance Value gt gt gt gt gt gt gt gt gt 9 99 lt 10 fabchd_ins_co Insurance Company x 24 FA QAD 118 MFG PRO User Guide Fixed Assets Field Name Label Col Label Format Dec abchd ins date Insurance Date 99 99 9999 abchd ins nbr Insurance Number x 12 abchd mod date Modified Date Mod Date 99 99 9999 abchd mod user User ID x 8 abchd puramt Cost gt gt gt gt gt gt gt gt gt 9 99 lt 10 abchd qty Components gt gt gt 9 abchd salvamt Salvage gt gt gt gt gt gt gt gt gt 9 99 lt 10 abchd startdt Service Date Serv Date 99 99 9999 abchd um Unit of Measure UM x 2 abchd uplife Total Units gt gt gt gt gt gt gt gt gt 9 abchd upper Units Period gt gt gt gt gt gt gt gt gt 9 abchd user1 Ufld1 x 8 abchd user2 Ufld2 x 8 abchd chrO1 x 8 abchd dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abchd__dte01 99 99 9999 abchd int01 gt gt gt gt gt gt 9 abchd__log01 yes no abchd__qa
41. Codes Some options in MFG PRO functions appear on the screen using alphabetic codes or words Internally these options are controlled by numeric codes Mnemonics and labels provided in English may not be appropriate in other languages Use Language Code Maintenance 36 4 3 to change add and delete mnemonic codes and labels Table 1 4 lists the language detail codes referenced by fixed asset functions Use this table if you need to change a label Data Set Field Code Label Where Used famt mstr famt desc 1 D tn A U N Straight Line Units of Production Declining Balance Sum of the Years Digits Flat Rate Custom Table Method Maintenance Table 1 3 Generalized Codes in Fixed Assets Table 1 4 Language Detail Codes FVYQAD 16 MFG PRO USER GUIDE FIXED ASSETS FVYQAD Data Set Field Code Label Where Used famt mstr famt conv 1 Full Period Method Maintenance 2 Half Period 3 Next Period 4 Full Quarter 5 Half Quarter 6 Full Year 7 Half Year Standard 8 Half Year Version 1 9 Half Year Version 2 facd det facd acctype 1 Asset Account Class Maintenance 2 Accumulated Expense 3 Periodic Expense 4 Construction in Process 5 Gain on Disposal 6 Loss on Disposal 7 Asset Suspense faadj mstr faadj type 1 Bonus Fixed Asset 2 Basis Maintenance 3 Method 4 Life 5 Suspend 6 Reinstat 90 Retire 91 UOP 92 Split CHAPTER 2 Prepa
42. DE FIXED ASSETS FVYQAD About This Guide What Is in This Guide 2 Windows Keyboard Commands 4 Character Keyboard Commands 5 2 MFG PRO USER GUIDE FIXED ASSETS FAQAD What Is in This Guide This guide covers features of the MFG PRO Version 9 0 Fixed Assets module Other 9 0 Documentation For an overview of new features and software updates see the 9 0 Release Bulletin For software installation instructions refer to the 9 0 Installation Guides For instructions on navigating the MFG PRO environment refer to the 9 0 User Interface Guide For instruction on navigating MFG PRO using the Network User Interface NetUI for the Java platform refer to the 9 0 Network User Interface Guide For information on using MFG PRO refer to the 9 0 User Guides For technical details refer to the 9 0 File Relationships and 9 0 Database Definitions To review MFG PRO program screens refer to the Screen Book Volumes 1 3 To view documents online in PDF format see the 9 0 Documents on CD Online Help MFG PRO has an extensive online help system Help is available for most fields found on a screen Procedure help is available for most programs that update the database Most inquiries reports and browses do not have procedure help For information on using the help system refer to the 9 0 User Interface Guide ABOUT THIS GUIDE 3 QAD Web Site For MFG PRO users with a QAD Web account MFG PRO
43. Field Name Asc Abbr 0 fab fa id yes fab fa id yes no fab fabk seq yes no fab fabk id yes no fab resrv yes no 9 fab meter no fab famtr id yes no 9 fab resrv no fab fa id yes no fab fabk id yes no fab resrv yes no facd det Fixed Asset Class Account Detail Field Name Label Col Label Format Dec acd acct Account x 8 acd acctype Account Type Type x 8 acd fabk id Book x 4 acd facls id Class x 8 acd mod date Modified Date Mod Date 99 99 9999 acd mod userid User ID x 8 acd user1 Ufld1 x 8 acd user2 Ufld2 x 8 acd chrO1 x 8 acd dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 acd dte01 99 99 9999 acd intO1 gt gt gt gt gt gt 9 acd__log01 yes no acd qadc01 x 20 acd qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 acd__gadi01 gt gt gt gt gt gt 9 acd__gadl01 yes no acd__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr Os facd fac id yes facd facls id yes no facd acctype yes no o facld det Fixed Asset Calendar Detail Field Name Label Col Label Format Dec facld end Period End 99 99 9999 facld facl id Calendar x 8 facld mod date Modified Date Mod Date 99 99 9999 facld mod userid User ID x 8 facld per Period Per 29 facld start Period Start 99 99 9999 facld user1 Ufld1 x 8 FAQAD Database Definitions 123 Field Name Label Col Label Format Dec acld user2 Ufld2 x 8 acid year Year 9999 facld chrO1 x 8 facld decO1 gt gt gt gt gt gt gt gt gt 9 99 lt 10 acld_
44. G PRO supports the following conventions Full Period Half Period Next Period Full Quarter Half Quarter Full Year Half Year Modified Half Year Version 1 Modified Half Year Version 2 Cost See Acquisition Cost Custodian Employees responsible for tracking the location of fixed assets Custom Table Depreciation tables used as a substitute for the standard depreciation methods when calculating depreciation Depreciation is calculated by specifying a depreciation factor for each period and year of the asset s life Declining Balance Method An accelerated depreciation method that provides higher depreciation charges in the earlier years of the asset s life and lower depreciation charges in the later years The annual depreciation is calculated by using a constant depreciation percentage rate and multiplying it by the remaining net book value each year of the asset s service life This method does not depreciate an asset to zero FAQAD Declining Balance Switch to Straight Line This declining balance method switches to the straight line method when the depreciation calculated by straight line is greater than the depreciation calculated by the declining balance method This method fully depreciates the asset Depreciable Asset Tangible item of value used by a business to produce income that uses depreciation to allocate its cost to periods in its service life Depreciable Basis Value used for ca
45. ID x 8 amtr rollover Rollover gt gt gt gt gt gt gt gt 9 amtr user1 Ufld1 x 8 amtr user2 Ufld2 x 8 amtr__chr01 x 8 amtr__dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 amtr dte01 99 99 9999 amtr intO1 gt gt gt gt gt gt 9 amtr__log01 yes no amtr__qadc01 x 20 amtr qgadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 amtr__qadi01 gt gt gt gt gt gt 9 amtr__qadl01 yes no amtr__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr Os famtr id yes famtr id yes no o famt mstr Fixed Asset Method Master Field Name Label Col Label Format Dec famt active Active yes no famt actualdays Actual Days yes no famt conv Convention Conv x 2 famt desc Description x 55 famt elife Expected Life gt gt 9 99 lt 10 famt id Method x 4 FAQAD Database Definitions 129 Field Name Label Col Label Format Dec amt mod date Modified Date Mod Date 99 99 9999 amt mod userid User ID x 8 famt perc Factor gt gt 9 9 lt 10 famt salv Use Salvage yes no amt switchsl Switch to SL yes no amt type Depreciation Type Type x 2 famt user1 Ufld1 x 8 famt user2 Ufld2 x 8 amt chrO1 x 8 amt dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 famt__dte01 99 99 9999 famt int01 gt gt gt gt gt gt 9 amt log01 yes no amt qadc01 x 20 famt qadc02 x 20 famt qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 amt qadiO1 gt gt gt gt gt gt 9 amt__qadl01 yes no famt__qadt01
46. If transactions are created in error use Fixed Asset Transaction Void 32 14 to reverse the entries To create the GL entries for the fixed asset transactions you must run Transaction Post 25 13 7 for transaction type FA MAINTAINING FIXED ASSETS 91 Fig 4 1 Fixed Asset Transaction Post olx Fixed Asset UserMenu Edi Queue Options Help Transaction Post 32 13 Entity 1000 To 3000 Asset To Year Period 199311 Effective 08 06 1999 Daybook Post Transactions yes Output Imm l Entity To Enter a range of entities to select transactions to be posted Asset To Enter a range of asset IDs to select assets to be posted Effective Enter the date when fixed asset transactions are effective in the GL GL entries are created for the year period The effective date is validated against the open GL period The default is the system s date Daybook Enter a predefined daybook code Define daybooks in Daybook Maintenance and Default Daybook Maintenance This daybook is the default for FA transaction types and FA document types If a default daybook is not defined for FA the system daybook defaults Post Transactions This field determines whether transactions are posted to the GL Yes A journal report is printed and the unposted transactions are created GL entries post summary or detail information according to the Summarized Journal field in the Fixed Asset Control File No The system generates the journal repor
47. MFG PRO User Guide FIXED ASSETS FYQAD 78 0432A MFG PRO Version 9 0 Printed in the U S A August 1999 This document contains proprietary information that is protected by copyright No part of this document may be photocopied reproduced or translated without the prior written consent of QAD Inc The information contained in this document is subject to change without notice QAD Inc provides this material as is and makes no warranty of any kind expressed or implied including but not limited to the implied warranties of merchantability and fitness for a particular purpose QAD Inc shall not be liable for errors contained herein or for incidental or consequential damages including lost profits in connection with the furnishing performance or use of this material whether based on warranty contract or other legal theory Some states do not allow the exclusion of implied warranties or the limitation or exclusion of liability for incidental or consequential damages so the above limitations and exclusion may not be applicable PROGRESS is a registered trademark of Progress Software Corporation Windows is a trademark of Microsoft Corporation MFG PRO is a registered trademark of QAD Inc Copyright 1999 by QAD Inc 78 0432A QAD Inc 6450 Via Real Carpinteria California 93013 Phone 805 684 6614 Fax 805 684 1890 Contents ABOUT THIS GUIDE Lagar eek Ave A 1 What Is in This Guide arauanv rv nav ce
48. Quarter in Acquisition Retirement Full Quarter Service Factor Factor FAREN 1 100 0 2 15 25 3 50 5096 4 2596 75 The first year depreciation and depreciation per period calculations are Annual Depreciation 1 200 50 600 Depreciation Per Period 600 4 150 The retirement depreciation calculation is Depreciation 1 200 75 900 FAQAD 44 MFG PRO USER GUIDE FIXED ASSETS When the computer is retired 1 100 has already been taken in depreciation There is a difference of 200 1 100 900 in the depreciation calculation due to the early retirement Therefore a depreciation expense credit of 100 is applied in the retirement period Table 2 16 illustrates the depreciation taken for each period Table 2 16 Full Quarter Period 1999 2000 Depreciation dan 0 100 February 0 100 March 0 100 April 0 100 May 0 100 June 0 100 July 0 100 August 0 100 September 150 100 October 150 100 November 150 100 December 150 0 Half Quarter The computer is placed into service in the third quarter on September 14 1999 and it is retired in the fourth quarter on November 13 2000 The factors listed in Table 2 17 are used for calculating depreciation using the half quarter convention Table 2 17 Half Quarter Quarter in Acquisition Retirement Factors Service Factor Factor 1 87 596 12 596 2 62 5 37 5 3 37 5 62 5 4 12 5 87 5 FAQAD PREPARING TO USE FIXED ASSETS 45 The first year
49. _dte01 99 99 9999 acld intO1 gt gt gt gt gt gt 9 facld__log01 yes no facld__qadc01 x 20 acld__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 acid__qadi01 gt gt gt gt gt gt 9 facld qadl01 yes no facld__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr 0 facld_facl_id yes facld_facl_id yes no facld_year yes no facld_per yes no o facls_mstr Fixed Asset Class Master Field Name Label Col Label Format Dec acls dep Depreciate Assets Dep yes no acis desc Description x 40 facis id Class x 8 facls mod date Modified Date Mod Date 99 99 9999 acis mod userid User ID x 8 acis useri Ufld1 x 8 facis user2 Ufld2 x 8 facls__chr01 x 8 acis decO1 gt gt gt gt gt gt gt gt gt 9 99 lt 10 acls dte01 99 99 9999 facis intO1 gt gt gt gt gt gt 9 facis log01 yes no acls qadcO1 x 20 acis qadc02 x 20 facis qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 facls__qadi01 gt gt gt gt gt gt 9 acls__qadI01 yes no acls__ qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr Q facls id yes facls id yes no FYIQAD 124 MFG PRO User Guide Fixed Assets o facl cal Fixed Asset Calendar Master Field Name Label Col Label Format Dec acl id Calendar x 8 acl mod date Modified Date Mod Date 99 99 9999 acl mod userid User ID x 8 acl user1 Ufld1 x 8 acl user2 Ufld2 x 8 acl year Year 9999 acl chrO1 x 8 acl dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10
50. acl dte01 99 99 9999 acl intO1 gt gt gt gt gt gt 9 acl log01 yes no acl qadc01 x 20 acl qaddO1 gt gt gt gt gt gt gt gt gt 9 99 lt 10 acl qadi01 gt gt gt gt gt gt 9 acl__qadl01 yes no acl__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr Os facl id yes facl id yes no facl year yes no o fact ctrl Fixed Asset Control Table Field Name Label Col Label Format Dec act auto Auto Generate Asset Auto yes no act gl sum Summarized Journal Summ Jrnl yes no act ico acct Intercompany Acct x 8 act ico cc Intercompany Cost Center CC x 4 act ico sub Intercompany Sub Account Sub Acct x 8 act_index1 Index gt gt gt gt gt 9 act_mod_date Modified Date Mod Date 99 99 9999 act mod userid User ID x 8 act seq id NRM Sequence x 8 act user1 Ufld1 x 8 act user2 Ufld2 x 8 act chr01 x 8 act dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 act__dte01 99 99 9999 act intO1 gt gt gt gt gt gt 9 act 10901 yes no act qadcO1 x 20 act qadc02 x 20 act qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 act qadi01 gt gt gt gt gt gt 9 act qadl01 yes no act__qadt01 99 99 9999 FAQAD Database Definitions 125 Index Name Uni Field Name Asc Abbr O fact index1 yes fact index1 yes no o fadf mstr Fixed Asset Book Default Master Field Name Label Col Label Format Dec fadf fabk id Book x 4 adf facis id Class x 8 adf famt elife Life gt gt 9 99 lt 10 fadf famt id Method
51. after which the meter should reset to zero For example if a meter can read a maximum number of 1000 enter 1000 When the meter reaches 1001 it begins again at zero Initial Setting Enter the meter s beginning number The default is 0 Date Enter the date of the meter s initial setting Reset Setting Enter the initial setting for the new meter You can use this field if you need to replace the meter The reset setting represents the previous meter s ending number Date Enter the date of the reset setting This date must be after the initial setting date FVYQAD Choose the Detail function to enter meter readings Action READING READING READING READING READING Meter Readings Reading Accumulated Units 01 12 2000 12 19 1999 11 15 1999 10 13 1999 09 17 1999 135 75 120 PREPARING TO USE FIXED ASSETS 51 Fig 2 15 Fixed Asset Meter Maintenance Meter Readings Add Delete End Action The following are system assigned actions INITIAL Displays the meter s initial setup number READING Displays meter readings RESET Displays the meter s reset number Date Enter the date for the meter reading This date must be later than the previous reading date Reading Enter the meter reading You can only delete the most recent meter reading Accumulated Units Displays the total number of units since the meter was created Choose the Assets function to view any assets and fi
52. age fixed asset 57 straight line depreciation method 34 sum of the years digits depreciation method 37 T transactions general ledger fixed assets 92 transferring fixed assets 64 85 U units of production UOP depreciation method 39 UOP See units of production UOP depreciation method FAQAD 136 MFG PRO USER GUIDE FIXED ASSETS FVYQAD
53. ance Insurance Company Optionally enter the name of the company that insures the asset Insurance Number Optionally enter an insurance policy number for the asset Insurance Date Optionally enter the date that insurance coverage begins or ends for the asset This date depends on how your company records coverage dates Insurance Value Optionally enter an insurance value or replacement cost of the asset FAQAD 70 MFG PRO USER GUIDE FIXED ASSETS Depreciation Books Access this function by choosing Books on the Fixed Asset Maintenance header Figure 3 15 illustrates the different screens you can access with the navigation buttons Fig 3 15 Depreciation Books Screen Depreciation Books Non posted Asset Posted Asset y y AA v v r Depreciation Units of Adjustments rss IB Query Production Depreciation Books Depreciation v Y v Depreciation Depreciation Depreciation Schedule Query Schedule Use this function to assign or change depreciation books for the asset Books default from the asset s class You can change the default books or add other books If the asset has been posted to the GL you cannot modify the depreciation books FVYQAD Fixed Asset Maintenance UserMenu Edit Queue Options Help Rp Bp amp I CREATING AND MANAGING FIXED ASSETS 71 Asset 1 Computer 1 Class COMP Location Chicagol Entity 1000 Service Date
54. ansfer transactions for these assets in the same period as the date entered New Location Enter the new location for the assets This location must be defined in Location Maintenance New Sub Account Enter the new sub account for the transferred assets The default is the new location s sub account New Cost Center Enter the new cost center for the transferred assets The default is the new location s cost center Select All This field indicates whether the assets matching the selection criteria are automatically selected for the transfer Yes All assets matching the selection criteria are selected to transfer You can modify the assets on the Select Assets to Transfer screen No Assets are not automatically selected You must manually select the assets on the Select Assets to Transfer screen Fixed Asset Transfers UserMenu Edit Queue Options Help Select Assets to Transfer Service Date Basis Amount Net Book Value 1 01 10 1999 364 57 356 32 65a 4 01 10 1999 22 90 22 89 65phasell 4 01 10 1999 1 000 00 998 19 701 4 01 10 1999 91 14 89 08 710 4 01 10 1999 0 00 0 00 AT00001 Chicago1 05 03 1999 9 899 77 8 662 27 AT00004 Tampa2 04 06 1999 9 592 75 9 350 07 AT00006 NJ 03 08 1999 9 388 07 0 00 AT00008 Chicago1 02 10 1999 9 183 39 6 377 40 AT00009 Chicago2 02 11 1999 9 081 05 7 491 87 axv042600001 4 94 01 1999 12 000 00 11 800 00 bm990426b 04 01 1999 12 345 00 12 345 00 Sel This field indicates wh
55. assigned to it in Fixed Asset Maintenance The information set up in Class Maintenance provides default book and account information for the asset In Fixed Asset Maintenance accounts default from the class The entity sub account and cost center default from the location FAQAD 32 MFG PRO USER GUIDE FIXED ASSETS Fig 2 10 Class Maintenance Class Maintenance OP 32 1 17 posee Class Enter a unique class ID Description Enter up to 43 characters describing this fixed asset class ID This description displays on various reports and inquiries Depreciate Assets If Yes this fixed asset class is depreciated Depreciation schedules are created for assets assigned to this class Choose the Books function to specify default fixed asset books Fig 2 11 Class Maintenance Default Books Default Books P See Setting Up Book Enter a predefined fixed asset book ID for this class Define e ps book IDs in Book Maintenance 32 1 9 Any fixed assets that are information depreciated must be assigned to a posting book FYIQAD PREPARING TO USE FIXED ASSETS 33 Method Enter the predefined depreciation method ID It cannot begin See Setting Up with a zero Set up depreciation methods in Method Maintenance me Methods identify how depreciation is calculated for the asset service information years Life Enter the number of years for the book s life This number is used as a basis for depreciation calculation
56. aster Field Name Label Col Label Format Dec aloc cc Cost Center CC x 4 aloc desc Description x 32 aloc entity Entity Enty x 4 aloc id Location x 8 aloc mod date Modified Date Mod Date 99 99 9999 aloc mod userid User ID x 8 aloc sub Sub Account Sub Acct X 8 aloc user1 Ufld1 x 8 aloc user2 Ufld2 x 8 aloc chrO1 x 8 aloc dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 aloc dte01 99 99 9999 aloc__int01 gt gt gt gt gt gt 9 aloc 1og01 yes no aloc__qadc01 x 20 aloc__qadc02 x 20 aloc__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 aloc__qadi01 gt gt gt gt gt gt 9 aloc qadl01 yes no aloc__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr 0 faloc id yes faloc id yes no Database Definitions 127 o famtd det Fixed Asset Custom Table Detail Field Name Label Col Label Format Dec famtd famt id Method x 4 amtd intO1 gt gt gt gt gt gt 9 amtd mod date Modified Date Mod Date 99 99 9999 famtd mod userid User ID x 8 famtd percent Percent gt gt 9 9 lt 10 amtd period Period gt gt 9 amtd user1 Ufld1 x 8 famtd user2 Ufld2 x 8 famtd year Year 9999 amtd chrO1 x 8 amtd dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 famtd__dte01 99 99 9999 famtd__log01 yes no amtd__qadc01 x 20 amtd__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 famtd__qadi01 gt gt gt gt gt gt 9 famtd gadl01 yes no amtd__qadt01 99 99 9999 Index Name Uni Field Name As
57. c Abbr 0 famtd famt id yes famtd famt id yes no famtd year yes no famtd period yes no o famtrd det Fixed Asset Meter Detail Field Name Label Col Label Format Dec amtrd accum Accumulated Units gt gt gt gt gt gt gt gt 9 amtrd action Action x 8 famtrd date Date 99 99 9999 famtrd famtr id Meter x 12 amtrd mod date Modified Date Mod Date 99 99 9999 amtrd mod userid User ID x 8 famtrd reading Reading gt gt gt gt gt gt gt gt 9 famtrd seq Sequence Seq gt gt gt gt gt gt gt gt 9 amtrd usage Usage gt gt gt gt gt gt gt gt 9 amtrd user1 Ufld1 x 8 famtrd user2 Ufld2 x 8 famtrd chr01 x 8 amtrd decO1 gt gt gt gt gt gt gt gt gt 9 99 lt 10 amtrd dte01 99 99 9999 famtrd intO1 gt gt gt gt gt gt 9 famtrd__log01 yes no amtrd__qadc01 x 20 amtrd qaddO1 gt gt gt gt gt gt gt gt gt 9 99 lt 10 famtrd qadiO1 gt gt gt gt gt gt 9 FYQAD 128 MFG PRO User Guide Fixed Assets Field Name Label Col Label Format Dec famtrd qadi01 yes no famtrd__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr 0 famtrd famtr id yes famtrd famtr id yes no famtrd seq no no o famtr mstr Fixed Asset Meter Master Field Name Label Col Label Format Dec amtr desc Description x 30 amtr id Meter x 12 amtr init Initial Setting gt gt gt gt gt gt gt gt 9 amtr initdt Date 99 99 9999 amtr mod date Modified Date Mod Date 99 99 9999 amtr mod userid User
58. ccount 2 400 Debit Intercompany account 2 400 Credit Intercompany account 2 000 The following GL transactions are created for entity 2000 Credit Intercompany account 2 400 gt For details see the NRM chapter in User Guide Volume 11 Manager Functions FYQAD 20 MFG PRO USER GUIDE FIXED ASSETS FVYQAD Debit Intercompany account 2 000 Credit Accumulated Expense account 2 000 Debit Asset account 2 400 If you are processing transactions for multiple entities do not leave the account field blank If it is blank no intercompany entries are created leaving transactions unbalanced across entities Setting Up Business Rules Setting up business rules lets you define your accounting needs and customize Fixed Assets to meet your specific needs Business rules provide defaults for assets entered in Fixed Asset Maintenance 32 3 minimizing data entry and errors Before you begin setting up your company s business rules you should decide on some basic information Your company s fixed asset locations If your company uses custom calendars for non posting fixed asset books or if your books follow the GL calendar What and how many fixed asset books does your company need to set up Which MFG PRO supplied depreciation methods your company uses Which depreciation methods you use for financial and tax purposes Your company s classes to group similar assets PREPARING TO USE FIXED ASSETS 21 Figure 2 2 summarizes
59. comment text language Define language codes in Language Code Maintenance 36 4 1 Leave blank if you are not using multiple languages Page Enter the page number for this master comment Multiple pages of text can be stored for any comment Each page is identified and accessed by page number Comments Enter the comments Multiple pages of text can be stored for any transaction comment Pages are identified and accessed by page number Each page number of transaction comments can be copied from a different master comment by specifying an existing master comment reference type language and page Transaction comment text can also be entered manually with up to 15 lines of text per page NaAD 68 MFG PRO USER GUIDE FIXED ASSETS User Field Maintenance Access this function by choosing User on the Option screen Use this function to maintain user fields for customization Fig 3 13 Fixed Asset Fixed Asset Maintenance Er Maintenance User Field Maintenance Ea ele User Field Maintenance Insurance Data Access this function by choosing Insur on the Option screen Use this function to set up insurance information for the asset such as the insurance company policy number and the insurance value for the asset Insurance data is for reference only FAQAD CREATING AND MANAGING FIXED ASSETS 69 Fig 3 14 Fixed Asset Maintenance olx Fixed Asset Maintenance ejer eee Insurance Data Insurance Data Alli
60. ctivity Report faparp p 32 5 3 Depreciation Adjustment Report faadrp p 32 5 5 Acquisition Report faaqrp p 32 5 7 Depreciation Expense Report faderp p 32 5 9 Asset Depreciation Array Report fadarp p 32 5 11 Assets Owned Report faaorp p 32 7 Fixed Asset Batch Maintenance fabchmt p 32 8 Fixed Asset Batch Report fabchrp p 32 11 Fixed Asset Meter Maintenance famtrmt p 32 12 Fixed Asset Meter Report famtrrp p 32 13 Fixed Asset Transaction Post fapsmt p 32 14 Fixed Asset Transaction Void favdmt p 32 16 Fixed Asset Transfers fatrmt p 32 17 Fixed Asset Transfer Report fatrrp p 32 19 Fixed Asset Retirements fartmt p 32 20 Fixed Asset Retirement Report fartrp p 32 23 Retired Asset Delete Archive fartup p 32 24 Fixed Asset Control File fafapm p 32 25 1 Fixed Assets Dump Legacy Data fasv p 32 25 2 Fixed Assets Migration Utility facvmt p 32 25 3 Fixed Assets Migration Report facvrp p MFG PRO Base Data The Fixed Assets module requires base data set up in other MFG PRO modules The base data includes the following Entities GL daybooks GL accounts sub accounts cost centers and projects FVYQAD 12 MFG PRO USER GUIDE FIXED ASSETS FAQAD Entity Data An entity is an independent financial unit used for financial reporting Define entities in Entity Code Maintenance 25 3 1 You specify an entity for each fixed asset location in Location Maintenance 32 1 13 In Fixed Asset Transaction Post 32 13 you create unposted fixed asset
61. dc01 x 20 abchd qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abchd qadi01 gt gt gt gt gt gt 9 abchd qadi01 yes no abchd__qadt01 99 99 9999 Index Name Uni Field Name Asc Abbr 9s fabchd fa id yes fabchd fabch id yes no fabchd fa id yes no o fabch mstr Fixed Asset Batch Master Field Name Label Col Label Format Dec abch createdt Creation Date 99 99 9999 abch ctrl Batch Control gt gt gt gt gt gt gt gt 9 99 lt 2 abch id Batch x 12 abch mod date Modified Date Mod Date 99 99 9999 abch mod userid User ID x 8 abch user1 Ufld1 x 8 abch user2 Ufld2 x 8 abch__chr01 x 8 abch__dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abch dte01 99 99 9999 abch__int01 gt gt gt gt gt gt 9 abch log01 yes no abch__qadc01 x 20 abch__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abch__qadi01 gt gt gt gt gt gt 9 abch__qadl01 yes no abch__qadt01 99 99 9999 FAQAD Database Definitions 119 Index Name Uni Field Name Asc Abbr 0 fabch id yes fabch_id yes no fabd det Fixed Asset Book Depreciation Detail Field Name Label Col Label Format Dec fabd accamt Accumulated Depreciation gt gt gt gt gt gt gt gt gt 9 99 lt 10 abd_accup Units Consumed gt gt gt gt gt gt gt gt gt 9 abd acq Acquired yes no fabd adj yrper Adj Year Period Adj Yr Per x 6 fabd cst adj Cost Adjust yes no abd entity Entity Enty x 4 abd fabk id Book x 4 fabd facis id Class x 8
62. depreciation This date must be in an open GL calendar period and must exist in any fixed asset calendars associated with default books in the class Cost Enter the amount paid to acquire the asset This cost is used to calculate the basis amount for each default book created for the asset Salvage Enter an optional salvage value for this asset Salvage value is the estimated value of property at the end of its useful life It is the amount reasonably expected in an open market for the asset after it is no longer productive If a salvage value is defined at the beginning of the depreciation calculation it is used to reduce the depreciable basis Components Enter the number of components that belong to this asset ID If you are updating an asset the new value cannot be less than the original value entered For example if an asset is acquired that consists of 200 chairs the chairs can be grouped together as one asset In this case you set components to 200 CREATING AND MANAGING FIXED ASSETS 85 You cannot enter a value less than 1 Total Units If you are using the units of production depreciation method enter the estimated total number of units that this asset is expected to produce during its service life Units Period If you are using the units of production depreciation method enter the estimated number of units that this asset is expected to produce each period UM If you are using the units of production deprec
63. depreciation and depreciation per period calculations are Annual Depreciation 1 200 37 596 450 Depreciation Per Period 450 4 112 50 The retirement depreciation calculation is Depreciation 1 200 87 596 1050 When the computer is retired 1 100 has already been taken in depreciation There is a difference of 50 1 100 1 050 in the depreciation calculation due to the early retirement Therefore a depreciation expense credit of 50 is applied in the retirement period Table 2 18 illustrates the depreciation taken for each period Table 2 18 Period 1999 2000 Half Quarter a 0 100 Depreciation February 0 100 March 0 100 April 0 100 May 0 100 June 0 100 July 0 100 August 0 100 September 112 50 100 October 112 50 100 November 112 50 50 December 112 50 0 Full Year The computer is placed into service on July 14 1999 and it is retired on October 13 2000 The first year of depreciation is allocated to the 6 remaining periods Depreciation Per Period 1 200 6 200 When the computer is retired 1 000 has already been taken in depreciation Depreciation must be reversed in the retirement period FYQAD 46 MFG PRO USER GUIDE FIXED ASSETS Table 2 19 Full Year Depreciation FAQAD Therefore a depreciation expense credit of 1000 is applied in the retirement period Table 2 19 illustrates the depreciation taken for each period Period 1999 2000 Jan
64. documentation is available for viewing or downloading at http support qad com documentation To obtain a QAD Web account go to http support qad com The QAD Web site also has information about training classes and other services that can help you learn about MFG PRO Conventions MFG PRO 9 0 is available in several interfaces Windows character Web browser and an interface for object oriented programs To standardize presentation the documentation uses the following conventions MFG PRO screen captures reflect the Windows interface References to keyboard commands are generic For example choose Go refers to F2 in the Windows interface and to F1 in the character interface The following tables identify the keyboard commands for the Windows and character interfaces FAQAD 4 MFG PRO USER GUIDE FIXED ASSETS Windows Keyboard Commands Navigation Keyboard Commands Entry Description Go F2 Moves to next frame End Esc Exits a frame program or menu Previous F9 or up arrow Retrieves previous record in a key data field Next F10 or down Retrieves next record in a key data field arrow Enter Enter Moves to next field within a frame Tab Tab Moves to next field within a frame Back Tab Shift Tab Moves back one field within a frame Exit Alt X Closes a program Run Ctrl R Starts a program by name Save object F12 In a key frame moves to data entry in data entry saves and returns to key
65. e Example A company purchases a 10 000 computer that has a 2 000 salvage value and a 4 year service life The depreciation factors for each year of the asset s service life are Year Depreciation Rate 1 7 2 9 5 3 27 4 56 5 Total 100 PREPARING TO USE FIXED ASSETS 41 Table 2 11 illustrates the custom table depreciation schedule Table 2 11 Depreciation Depreciation Custom Table Year Rate Calculation Expense Depreciation 1 7 8 000 7 560 BUE 9 5 8 000 9 5 760 27 8 000 27 2 160 56 5 8 000 56 5 4 520 R 0 N Using Conventions Fixed assets are not always acquired on the first day of the year nor are they always retired on the last day of year Fixed asset conventions are used for averaging depreciation in the first and last years of an asset s life Example A company purchases a 3 600 computer that has a 3 year service life and does not have a salvage value The computer is depreciated using the straight line method Using the straight line method the first year depreciation calculation and depreciation per period are Annual Depreciation 3 600 3 Years 1 200 Depreciation Per Period 1 200 12 100 This example is used to illustrate how each convention works Full Period The computer is placed into service on March 14 1999 and it is retired on October 13 2000 Table 2 12 illustrates the depreciation taken for each period Table 2 12 Period 1999 2000 Ful
66. e Menu Bar Esc M Accesses the menu bar object Save object F12 In a key frame moves to data entry in data entry saves and returns to key frame Print object Ctrl P Prints browse or maintenance information FAQAD 6 MFG PRO USER GUIDE FIXED ASSETS FVYQAD Help Keyboard Control Key Commands Entry Entry Description Field Help F2 Ctrl W Opens help on current field Procedure Help F2 Ctrl W Opens help on current program Look Up F2 Ctrl W Displays choice of records Browse Browse F7 Opens the browse options window Options Browse Esc F Turns the browse options on and off Options Toggle Field Name Ctrl F Ctrl F Displays the field name Edit Keyboard Control Key Commands Entry Entry Description Insert F3 Ctrl T Enables text insertion Delete Record F5 Ctrl D Deletes an open record Recall F7 Ctrl R Recalls last saved value in a field standard Cut F8 Clears a field Copy F11 Ctrl B Copies a field Paste F11 Ctrl B Inserts value that you copied Multiple Copy F12 Ctrl A Copies values from one or more fields standard and pastes them into the same fields of another record Clear Date Shift Clears the value in date fields CHAPTER 1 Introduction to Fixed Assets This chapter introduces Fixed Assets features Introduction 8 Fixed Asset Work Flow 8 Fixed Asset Programs 10 MFG PRO Base Data 11 Navigation 13 Validated Fields 14 Language Detail Codes 15 8 MFG PRO USER GUIDE
67. e the final year of depreciation is adjusted so that the total of depreciation equals the basis amount Full Period Convention A full period s depreciation is calculated for the first period of the asset s life No depreciation is calculated for the last period of the asset s life Depreciation is calculated as if the asset was put into and taken out of service the first day of the month Full Quarter Convention A full quarter s depreciation is calculated for the first quarter of the asset s life No depreciation is calculated for the last quarter of the asset s life Full Year Convention A full year of depreciation is taken regardless of the period that the asset was put into service No depreciation is calculated for the last year of the asset s life GAAP See Generally Accepted Accounting Principles GAAP Gain on Disposal Account A GL account used to track gains from fixed asset disposal GLOSSARY 105 General Ledger A general ledger is the collection of all the asset liability equity and expense accounts Amounts entered in books of original entry journals are transferred posted to the correct account in the general ledger Generally Accepted Accounting Principles GAAP These include U S guidelines and rules and procedures issued by groups within the accounting industry to standardize accounting practices These groups include the Financial Accounting Standards Board FASB and the American Institute of
68. e batch Choose the Assets function to add assets to the batch Fig 3 29 i Fixed Asset Batch Maintenance olx Fixed Asset Batch User Menu Edit Queue Options Help Maintenance Ro B IP Assets Batch 1999080603 Creation Date Batch Control 10 000 00 Total Cost 0 00 Total Assets 0 ost EU Compte Class COMP Location 1 Service Date 07 01 1999 Cost 3 000 00 Salvage 250 00 Components 1 Total Units 0 Units Period 0 UM Update Add Delete End FAQAD 84 MFG PRO USER GUIDE FIXED ASSETS FAQAD Asset Enter a unique ID of up to 12 characters identifying a fixed asset that is part of the batch If Auto Generate Asset is Yes in the Fixed Asset Control File this field cannot be updated Assets IDs are automatically assigned Asset Description Enter up to 30 characters describing the fixed asset This description is for reference only and displays on various reports and inquiries Class Enter a predefined class ID Define class IDs in Class Maintenance The class determines the default account codes for the asset Location Enter a predefined location ID Define location IDs in Location Maintenance Fixed asset location codes refer to the accounting location of the fixed asset This location does not necessarily have to be the physical location of the fixed asset Service Date Enter the date that this fixed asset was put into service The service date is the default date used to calculate
69. ed Asset di Adjustment fa id fab fa id Book Detail fab fa id faadj fa id Master fab fabk id faadj fabk id Asset A3set fa id fad fa id fa id Naba fa id D S fad det faba det Asset Component Detail Asset Account Detail FAQAD APPENDIX B Database Definitions This appendix includes technical reference information for the database tables used to store Fixed Asset information Database Tables 114 Table Definitions 116 114 MFG PRO User Guide Fixed Assets Database Tables This section provides information for the database tables used to store fixed asset data This information is useful for system administrators and programmers doing software conversions and custom programming Fixed asset data is stored in the following new tables Fixed Asset Adjustment Master faadj mstr Fixed Asset Account Detail faba det Fixed Asset Batch Detail fabchd det Fixed Assets Batch Master fabch mstr Fixed Asset Book Depreciation Detail fabd det Fixed Asset Book Master fabk mstr Fixed Asset Book Detail fab det Fixed Asset Class Account Detail facd det Fixed Asset Calendar Detail facld det Fixed Asset Class Master facls mstr Fixed Asset Calendar Master facl cal Fixed Asset Control Table fact ctrl Fixed Asset Book Default Master fadf mstr Fixed Asset Component Detail fad det Fixed Asset Location Master faloc mstr Fixed Asset Custom Table Detail famtd det Fixed Asset Meter De
70. ee ee 21 Setting Up Fixed Asset Calendars 0 0 eee eee eee 27 Setting UP Books vasse d eue eee ee kare eee sk 28 Setting Up Locations 0 0 eee I 30 Setting Up Classes 0 0 eee eee 31 Depreciation Methods and Conventions 0 0 00 eee eee ee ee 34 Using Depreciation Methods 0 0 e eee eee eee 34 Using Conventtons sses caser vask Se eee ske 41 Creating Meters tesis chased Reb expe errata P Eq bid expe bao edu 49 CHAPTER 3 CREATING AND MANAGING FIXED ASSETS 53 Introduction 4 i dese sce trm e etes Roe Pei deb had e di s 54 Fixed Asset Maintenance oooccccoccccocr e 55 Fixed Asset Maintenance Header 0 0 00 ee ee o 55 O does oreet e pp d Np Re Ed T 58 Asset Account Maintenance 00 eee eee e 60 Ret rement ress ierti eia Eton ore eer ciate tata Der VO Rd qu De Eus i ORT Dade 61 Asset Transfer iis venie pO eR RP RR UR ker D a ERU ere 64 Transaction Comments 0 c cece eee eee en ees 66 User Field Maintenance 0 0 c eee eee eee eee 68 Insurance Data sseeeeeeeeeee ene eee 68 Depreciation Books 0 0 c eee eee eee 70 Depreciation Adjustment 0 0 0 cece eee ee eee 72 Book Detail osc eas eevee ikke verke me bk DAN PEN ee 74 Depreciation Query 1 1 0 0 wires toiii d III 75 Units of Production and Depreciation Schedule TI Asset Component Maintenance 0 0c
71. eee ee 79 Split idee d ariete kodede kafedete e get re puede fide 81 FAQAD CONTENTS V Fixed Asset Batch Maintenance 00 0 ccc eee eee eee 82 Fixed Asset Transfets ici 4 ERR CCP CE Ce ERR Ci 85 Fixed Asset Retirements 0 0 0 0 0 0c cece es 87 CHAPTER 4 MAINTAINING FIXED ASSETS 000 ccc ern nn 89 Creating Fixed Asset Transactions l l 90 GL Transactions in Fixed Assets celles 92 Voiding GL Transactions avavnvnnrvvna rn ever eee 93 Deleting and Archiving Fixed Assets ooooooooocococooroncnco o 94 CHAPTER 5 FIXED ASSETS REPORTS see enhn 97 Periodic Activity Report lees vara eee 98 Depreciation Adjustment Report 0 0 cee eee ee ees 98 Acquisition Report 2 0 0 0 cee cece cece ence een eee 99 Depreciation Expense Report 0 0 cee eee eee 99 Asset Depreciation Array Report 0 0 0 cece eee 100 Assets Owned Report prsata 0 0c eect en ence nee 100 GLOSSARY EEE EPA d RS e ee EE 103 APPENDIX FILE RELATIONSHIPS 00000 e cena o 109 Fixed Assets iia ule reet oboe er dome Re ee asd es s 110 Fixed Assets Dl suv eee beer bros 111 Fixed Assets IT rer RC RR ped ae Ue ER a 112 APPENDIX B DATABASE DEFINITIONS sehn 113 Database Tables cce he ees 114 Table Conventions 0 0 0 0 ccc vr vr RR RR 115 Table Definitions cicle a veske RES CAE ERU Re 116 INDEX EEE EE II II 133 FAQAD VI MFG PRO USER GUI
72. een the AP module and the Fixed Assets module If you enter a receiver number the associated purchase order number defaults in the PO Number field PO Number Optionally enter a purchase order number for this asset The default is the PO number associated with the receiver Custodian Enter up to eight characters describing the name of the asset s custodian Custodians are employees responsible for tracking the location of fixed assets Asset Account Maintenance Access this function by choosing Accts on the Option screen Use this function to change the accounts sub accounts and cost centers that defaulted from the asset s class and location You can also add an optional project code If Verify GL Accounts is Yes in the System Account Control File the account sub account and cost center combination is validated If Verify Projects is Yes in the System Account Control File the project is validated Fixed Asset Maintenance olx User Menu Edit Queue Options Help Kg IP Account Description Asset Account FIXED ASSETS Accumulated Expens Accumulated Depreciatio Periodic Expense Depreciation Expense Construction In Proc Construction in Progress Gain on Disposal Bain Loss on Disposal Loss on Disposal Gain Loss on Disposal Asset Suspense Fixed Asset Suspense Update End CREATING AND MANAGING FIXED ASSETS 61 Account Enter the GL account code that records transactions for this fixed asset book
73. ence numbers Users cannot specify them manually NRM Sequence If Auto Generate Asset is Yes enter the predefined NRM Sequence ID set up for the target dataset of fa id Use Number Range Maintenance and Sequence Number Maintenance to define the NRM Sequence ID The sequence must be 12 characters or less Summarized Journal If Yes Fixed Asset Transaction Post 32 13 creates transactions by account sub account cost center and project combination When you first implement Fixed Assets consider creating detailed journal entries You can verify that each transaction is being processed with the right account numbers and then correct any mistakes After you verify that the entries are correct you can switch to a summarized journal which takes less space and is easier to handle in the GL Intercompany Acct Sub Acct and CC Enter the GL account sub account and cost center for tracking transfers of fixed assets between companies This account is only used when processing information for more than one entity in one database When a transfer transaction is processed referencing more than one entity the system automatically creates the required intercompany balancing entries For example a fixed asset that costs 2 400 is being transferred from entity 1000 to entity 2000 The total accumulated depreciation is 2 000 The following GL transactions are created for entity 1000 Debit Accumulated Expense account 2 000 Credit Asset a
74. ents to CREATING AND MANAGING FIXED ASSETS 73 posted periods are posted in the first open period The new basis must be greater than the posted depreciation and cannot be negative Bonus Bonus Adjustment Lets you record additional depreciation for an asset For example bonus depreciation is used to indicate that an asset has become obsolete Bonus adjustments are not allowed in posted suspended or final periods of the depreciation schedule The bonus amount must not exceed the remaining total of the depreciation schedule Life Adjust Life Lets you change the estimated life of an asset after depreciation has been posted The system calculates the difference between the old depreciation schedule and the new depreciation schedule The new depreciation schedule begins in the first open period Method Adjust Method Lets you change the depreciation method after depreciation has been posted The system calculates the difference between the old depreciation schedule and the new depreciation schedule The new depreciation schedule begins in the first open period Reinstate Reinstate Depreciation Lets you reinstate the asset into service The reinstate date must be after the suspension date Suspend Suspend Depreciation Lets you suspend the asset from service Suspensions are not allowed if the asset is already suspended or the starting period is posted Method If you are adjusting the method enter a depreciation me
75. eriods for selecting assets for reporting The format is XXXXYY where XXXX is the year and YY is the period As of Date Enter the effective date for this report The default is today s date The format is XXXXYY where XXXX is the year and YY is the period Print Totals Indicates whether you want a summary or detail report of your company s assets This is a required entry Yes The report prints a summary report for your company s assets No The report prints the details for each individual asset NaAD 102 MFG PRO USER GUIDE FIXED ASSETS FVYQAD Accelerated Depreciation Depreciation methods that provide greater depreciation expense in the earlier years of an asset s economic life Examples include declining balance and sum of the years digits methods Accounting Period Economic cycle for which financial records are maintained For example a calendar year or a fiscal year Accumulated Expense Account A GL account used to track the amount of depreciation that has accumulated and been posted since the start of the depreciation calculation Acquisition Cost The amount to purchase the fixed asset AICPA See American Institute of Certified Public Accountants AICPA American Institute of Certified Public Accountants AICPA Establishes standards of financial accounting and reporting for the private sector Amortization Some capital expenditures primarily non tangibles can be amortized rather tha
76. ether to transfer this component Press the spacebar or Enter key to select the components you want to transfer An asterisk indicates selection CREATING AND MANAGING FIXED ASSETS 87 Fixed Asset Retirements Use Fixed Asset Retirements 32 19 to dispose of multiple assets at one time Fig 3 32 Fixed Asset Retirements Of x Fixed Asset User Meru Edt Queue Options Heb Retirements 32 19 9 Bp amp I Asset fi To s Class ComP To comp Location To Service Date i i To i i Acquisition Cost 0 00 To 0 00 Enty 1000 Disposition Date 0670971999 Disposition Reason sold Sold For 200 00 Select All yes Asset To Enter a range of asset IDs to select assets to retire Class To Enter a range of class IDs to select assets to retire Location To Enter a range of Location IDs to select assets to retire Service Date To Enter a range of service dates to select assets to retire Acquisition Cost To Enter a range of acquisition costs to select assets to retire Entity Enter the entity for the assets you want to select to retire This is a required entry The default is the database primary entity Disposition Date Enter the effective date of the retirement This is a required entry This date must be in an open GL period Disposition Reason Enter the reason for the disposal of the asset The field is validated against codes set up in Generalized Codes Maintenance for field
77. f in the second half of the year a full year s depreciation is taken 9 Modified Half Year Version 2 If the asset is put into service in the first half of the year a full year of depreciation is calculated for the year If the asset is put in service in the second half of the year a half year s depreciation is calculated If the asset is PREPARING TO USE FIXED ASSETS 25 disposed of in the first half of the year no depreciation is calculated for the year If the asset is disposed of in the second half of the year a half year s depreciation is calculated Table 2 3 indicates which conventions are valid for each depreciation method Table 2 3 Conventions Valid Depreciation Method and 1 2 3 4 5 6 7 8 9 Convention E Straight Line yes yes yes yes yes yes yes yes yes Combinations 3 Units of Production yes no no no no no no no no Declining Balance yes yes yes yes yes yes yes yes yes 3 Sum of the Years Digits yes yes yes yes yes yes yes yes yes a Flat Rate yes yes yes yes yes yes yes yes yes Custom Table no no no no no no no no no Switch to Straight Line SL If Yes the declining balance depreciation method switches to the straight line method when the depreciation calculated using the straight line method is greater than the depreciation calculated using the declining balance method Factor Enter the depreciation factor rate expressed as a percentage This percentage is used to calculate the depreciation per period
78. fabd faloc id Location x 8 abd fa id Asset x 12 abd glseq GL Sequence gt gt gt gt gt gt gt gt 9 fabd_migrate Migrated yes no fabd_mod_date Modified Date Mod Date 99 99 9999 abd_mod_userid User ID x 8 abd_peramt Period Depreciation gt gt gt gt gt gt gt gt gt 9 99 lt 10 fabd_post Posted To GL Posted yes no fabd_resrv Reserve gt gt gt gt gt gt 9 abd_resrv_type Res Type x 2 abd_retired Retired yes no fabd_rt_period Retire Period yes no fabd_seq Sort Sort gt gt gt gt gt gt gt 9 abd_suspend Suspend yes no abd_transfer Transferred yes no fabd trn entity Entity Enty x 4 fabd trn glseq GL Sequence gt gt gt gt gt gt gt gt 9 abd trn loc Transfer Location x 8 abd upper Actual gt gt gt gt gt gt gt gt gt 9 fabd user1 Ufld1 x 8 fabd user2 Ufld2 x 8 abd yrper Year Period Yr Per x 6 abd chrO1 x 8 fabd dec01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 fabd__dte01 99 99 9999 abd intO1 gt gt gt gt gt gt 9 abd 1log01 yes no fabd__qadc01 x 20 fabd__qadc02 x 20 abd__qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 abd__qadd02 gt gt gt gt gt gt gt gt gt 9 99 lt 10 fabd qadiO1 gt gt gt gt gt gt 9 fabd__qadi02 gt gt gt gt gt gt 9 abd qadl01 yes no abd qadl02 yes no FYQAD 120 MFG PRO User Guide Fixed Assets Field Name Label Col Label Format Dec fabd qadt01 99 99 9999 fabd qadt02 99 99 9999 Index Name
79. ial Transfer Asset Transfer Asset Old Entity 1000 New Asset ID 22 Percent 25 00 EN Amount New Location NY 2000 0400 Albany New Entity 5000 New Sub Account 2000 New Cost Center 0400 Partial yes Transfer Date 08 01 1999 New Asset ID Enter a unique asset ID for the components being removed from the asset If Auto Generate Asset is Yes in the Fixed Asset Control File the system automatically assigns an asset ID using the predefined Number Range Management sequence Percent If the asset has only one component enter the percentage of the original asset s cost to assign to the new asset You can also enter a currency amount in Amount FAQAD 66 MFG PRO USER GUIDE FIXED ASSETS Fig 3 11 Fixed Asset Maintenance Component Selection Fig 3 12 Fixed Asset Maintenance Transaction Comments FAQAD Amount If the asset has only one component enter the base currency amount to assign to the new asset You can also enter a percentage of the original cost in Percent If this is a partial transfer and the asset has multiple components the system displays a list of components By default all components are selected Fixed Asset Maintenance olx User Menu Edit Queue Options Help RIB amp I Asset Transfer Asset EEUU Old Entity 3000 Dd be stim CA 2000 n2nn cr New Asset ID 23 Percent 0 00 Component Selection Sel Tag Description Amount Serial AD 0101 0001 1 000 0
80. iation method enter the unit of measure for this asset s units for example inch or foot Fixed Asset Transfers Use Fixed Asset Transfers 32 16 to transfer multiple assets from one predefined location to another The new cost center and sub account combination is validated with the accounts associated with the asset if Verify GL Accounts is Yes in the System Account Control File You cannot complete the transfer if there is an invalid combination Fig 3 30 Fixed Asset Transfers Of x Fixed Asset Leer Menus ER us f Optons s Hep Transfers 32 16 Re Be GP Asset To Class COMP To COMP Location 1 To 1 Service Date 04 01 1999 To 06 01 1999 Acquisition Cost 0 00 To 0 00 Transfer Date 06 09 1999 New Location 3 New Sub Account 1000 New Cost Center 0200 Select All yes Asset To Enter a range of asset IDs to select assets to transfer Class To Enter a range of class IDs to select assets to transfer Location To Enter a range of location IDs to select assets to transfer Service Date To Enter the first service date in a range to select assets to transfer FAQAD 86 MFG PRO USER GUIDE FIXED ASSETS Fig 3 31 Fixed Asset Transfers Select Assets to Transfer FAQAD Acquisition Cost To Enter a range of acquisition costs to select assets to transfer Transfer Date Enter the effective date of the transfer This date must be in an open GL period There cannot be any other tr
81. ife The formula for straight line depreciation is Depreciation Charge Depreciable Basis Service Life Depreciable Basis Cost Salvage Value Example A company purchases a 20 000 car that has a 2 000 salvage value and a five year service life Table 2 4 illustrates the straight line depreciation schedule Depreciation Year Calculation Expense 1 18 000 5 3 600 2 18 000 5 3 600 3 18 000 5 3 600 4 18 000 5 3 600 5 18 000 5 3 600 Declining Balance Declining balance is an accelerated method that provides higher depreciation charges in the earlier years of the asset s life and lower depreciation charges in the later years PREPARING TO USE FIXED ASSETS 35 The annual depreciation is calculated by using a constant depreciation percentage rate and multiplying it by the remaining net book value each year of the asset s service life The formulas for declining balance depreciation are Depreciation Rate Percentage Multiplier Service Life Depreciation Charge Depreciation Rate Net Book Value Each year the net book value is calculated with the following formula Net Book Value Net Book Value Depreciation Expense Example A company purchases a 20 000 car that has a five year service life The company uses a percentage multiplier of 150 to calculate the depreciation for the automobile The annual depreciation rate is calculated by annualizing the percentage multiplier over the automobile
82. ig 1 2 Navigation Buttons and Keyboard Commands FAQAD You can choose the navigation button or a keyboard command to perform the same function For example to delete a record you can choose the Delete button or the F5 keyboard command Figure 1 2 shows an example of the navigation buttons and the PROGRESS status bar Class Maintenance el Es UserMenu Edit Queue Options Help eem eer Class Description PB 1002 Depreciate Assets yes Default Books Book Method Life Posting Book NP02 1002 5 00 no PB 1001 5 00 yes Navigation Buttons Update Add Books Accts Find Delete End PROGRESS Status Bar F1 Help F2 Go ESC End F5 Delete Ctl X C V Cut Copy Paste Validated Fields MFG PRO uses generalized codes which you define in Generalized Code Maintenance 36 2 13 They give you flexibility in organizing and implementing functions since you can define values that are meaningful in your own business environment INTRODUCTION TO FIXED ASSETS 15 Table 1 3 lists the generalized codes referenced by fixed asset functions Use this table to plan which codes to set up for your implementation Code Label Where Used ad county County Location Maintenance ad state State Location Maintenance cd type Type Fixed Asset Maintenance fa code Sort Code Fixed Asset Maintenance fa disp rsn Disposition Reason l retrsn Fixed Asset Maintenance Fixed Asset Retirements Language Detail
83. in the Override Depreciation Date field Enter the amount of depreciation previously taken in the Override Accumulated Dep field If at the end of the asset s life there was any difference in the total depreciation and the actual amount that was taken it is added to the final period depreciation amount Fixed Asset Maintenance of x UserMenu Edit Queue Options Help 9 amp Ed Asset 1 Computer Book Detail Book Service Date 07 01 1999 Method 1 Life 5 00 Cost 3 500 00 Salvage 500 00 Basis Amount 3 000 00 verride Accumulated Dep 0 00 Override Depreciation Date PB 07 01 1999 1 5 00 2 500 00 2 450 00 1999 07 Tax 07 01 1999 1 5 00 3 500 00 3 450 00 1999 07 Update End CREATING AND MANAGING FIXED ASSETS 75 Override Accumulated Dep Enter the amount of depreciation that was taken between the service date and the override depreciation date You can update this amount only if the asset has not been posted to the GL Override Depreciation Date Enter the date that the override depreciation calculation begins You can update this date only if the asset has not been posted to the GL Depreciation Query Access this function by choosing Audit on the Depreciation Books screen Use this function to view the original depreciation schedule and any adjustments You can view the depreciation schedule in a rolled up or detailed version The rolled up schedule displays the calculated depreciation amount
84. ing is also used for partial retirements and transfers Straight Line Method Depreciation method that allocates the asset s cost evenly over its service life Sum of the Years Digits Method An accelerated depreciation method that provides a decreasing fraction to the asset s depreciable basis The annual depreciation is calculated by applying a fraction to the asset s depreciable basis Each fraction uses the sum of the years GLOSSARY 107 digits as the denominator and the remaining years in the asset s service life as the numerator The numerator decreases each year while the denominator remains constant Tax Basis Amount Amount of a fixed asset investment that can be depreciated for tax purposes This is normally the book acquisition basis UOP See Units of Production Method Units of Production Method Depreciation method that calculates depreciation based on items produced or units consumed from the asset NaAD 108 MFG PRO USER GUIDE FIXED ASSETS FVYQAD APPENDIX A File Relationships This chapter details the major relationships between the fixed asset files in an MFG PRO database Fixed Assets I 110 Fixed Assets II 111 Fixed Assets II 112 110 MFG PRO USER GUIDE FIXED ASSETS Fixed Assets I fadf mstr Asset Book Fixed Default Master fabk id fabk_ Book Master Book Fixed Assets System Architect Thu Jun 24 1999 14 27 Fixed Asset Relationships v9 0 mst
85. ise an error displays when you create new assets that use the classes Choose the Detail function to modify the copied method Method Maintenance lel Es UserMenu Edit Queue Options Help Rp E IP Method Detail Method Units Of Production Depreciation Type 2 Convention 1 Full Period Switch to SL no Factor 0 0 Use Salvage no Actual Days no Expected Life 0 00 Convention Conventions determine how much depreciation is taken in the first and last period of an asset s life Enter the number that corresponds to the convention for this method MFG PRO supplies the following conventions 1 Full Period A full period s depreciation is calculated for the first period of the asset s life No depreciation is calculated for the last period of the asset s life Depreciation is calculated as if the asset was put into and taken out of service the first day of the month 2 Half Period A half period s depreciation is calculated for the first and last period of the asset s life 3 Next Period A full period s depreciation is calculated for the period following the period that the asset was placed into service A full period s depreciation is taken in the last period of the asset s life 4 Full Quarter A full quarter s depreciation is calculated for the first quarter of the asset s life No depreciation is calculated for the last quarter of the asset s life Table 2 1 lists the factors used in calcula
86. l Period Depreciation January 0 100 February 0 100 March 100 100 April 100 100 FAQAD 42 MFG PRO USER GUIDE FIXED ASSETS Period 1999 2000 May 100 100 June 100 100 July 100 100 August 100 100 September 100 100 October 100 0 November 100 0 December 100 0 Half Period The computer is placed into service on March 14 1999 and it is retired on October 13 2000 Table 2 13 illustrates the depreciation taken for each period Table 2 13 Half Period Period 1999 2000 Depreciation January 0 100 February 0 100 March 50 100 April 100 100 May 100 100 June 100 100 July 100 100 August 100 100 September 100 100 October 100 50 November 100 0 December 100 0 Next Period The computer is placed into service on March 14 1999 and it is retired on October 13 2000 Table 2 14 illustrates the depreciation taken for each period FAQAD PREPARING TO USE FIXED ASSETS 43 Table 2 14 Period 1999 2000 Next Period mm 0 100 Depreciation February 0 100 March 0 100 April 100 100 May 100 100 June 100 100 July 100 100 August 100 100 September 100 100 October 100 100 November 100 0 December 100 0 Full Quarter The computer is placed into service in the third quarter on September 14 1999 and it is retired in the fourth quarter on November 13 2000 The following factors are used for calculating depreciation using the full quarter convention Table 2 15
87. lculating depreciation as the depreciation base The depreciable basis is the fixed asset s acquisition cost minus any salvage value Depreciation Allocates a fixed asset s cost to periods in its service life MFG PRO supports the following depreciation methods Straight Line Declining Balance Sum of the Years Digits Flat Rate Units of Production Custom Table Depreciation Book Book used for tracking a fixed asset s depreciation It can be the posting book that posts to the GL Depreciation Convention See Conventions Disposition Date Date of permanent removal of a depreciable asset from income producing activity This is often referred to as the Retirement Date Disposition Reason Reason for disposal of an asset and required input at time of disposal Reasons include sold stolen destroyed donated and impaired Entity An entity is an independent unit for financial reporting purposes Fixed Asset Tangible item of value used by a business to produce income FASB See Financial Accounting Standards Board FASB Financial Accounting Standards Board FASB Establishes standards of financial accounting and reporting for the private sector Flat Rate Method Depreciation method that calculates depreciation by using a constant percentage and multiplying it by the depreciable basis over the asset s service life until the sum of the depreciation is greater than the basis amount At this tim
88. mber 120 0 Creating Meters Use Meter Maintenance 32 11 to create modify and delete meters and enter meter readings You can also view any assets and fixed asset books that use the meter Meters are used to measure asset usage for the units of production depreciation method You can attach a meter to an asset or group of assets to collect the usage in Fixed Asset Maintenance For example a punch press machine costs 5000 and the meter records that the machine produced 10 000 units for the period The punch press is expected to produce 1 000 000 units during its service life The depreciation per period calculation is Depreciation Per Period 10 000 Units 1 000 000 Units 5 000 50 Table 2 22 Modified Half Year Version 2 Depreciation FAQAD 50 MFG PRO USER GUIDE FIXED ASSETS Fig 2 14 Fixed Asset Meter Fixed Asset Meter Maintenance MEE Maintenance UserMenu Edi Queue Options Help 32 11 Rp amp Ga I voc DN Initial Setting 0 Date 05 01 1999 Rollover 0 Reset Setting 0 Date Meter Readings Action Date Reading Accumulated Units READING 02 20 2000 135 READING 01 12 2000 75 READING 12 19 1999 0 READING 10 13 1999 85 0 0 0 READING 11 15 1999 50 0 0 0 READING 09 17 1999 120 Add Update Detail Assets Delete End Meter Enter a unique alphanumeric meter ID Description Enter up to 30 characters describing this fixed asset meter Rollover Enter the number
89. n asset into two separate assets If you are retiring or transferring a group of assets you can use Fixed Asset Transfers and Fixed Asset Retirements to process a batch of assets CREATING AND MANAGING FIXED ASSETS 55 Fixed Asset Maintenance Use Fixed Asset Maintenance 32 3 to set up and maintain your company s fixed assets Before you enter assets in Fixed Asset Maintenance you must set up values in the following programs Fixed Asset Control File Method Maintenance Fixed Asset Calendar Maintenance optional Book Maintenance Location Maintenance Class Maintenance Fixed Asset Meter Maintenance optional Fixed Asset Maintenance Header Figure 3 1 illustrates the different screens you can access with the navigation buttons Fig 3 1 or Fixed Asset Header Use this header to enter your company s fixed assets Asset IDs are See Chapter 2 assigned automatically by the system or manually based on the value of b pud 7 Use Auto Generate Asset in the Fixed Asset Control File for more information FAQAD 56 MFG PRO USER GUIDE FIXED ASSETS Fig 3 2 Fixed Asset Maintenance 32 3 Header FAQAD After you have assigned an asset ID you set up the following for each asset Class Location Service date Asset cost Salvage amount Replacement cost Number of asset components If the asset is depreciated Authorization number Fixed Asset Maintenance el Es UserMenu Edit Queue
90. n depreciated This method generally uses a straight line method over a specific time period Items that could be eligible for amortization include trademarks certain start up expenses software and other intangible assets Glossary Asset Account A GL account used to track the acquisition cost of a fixed asset Asset Suspense Account A GL account used to track the remaining value of fixed asset when it is disposed Basis See Depreciable Basis Batch A group of similar fixed assets added together into the system Fixed asset batches have no relation or similarity to batches used in other MFG PRO financial modules Book Service Date The service date used for calculating depreciation Class Classes group fixed assets that share the following characteristics GL accounts Depreciation books Service lives for calculating depreciation Depreciation methods Component Part of a fixed asset if the asset contains more than one item For example a computer is a fixed asset that contains three components the mouse keyboard and monitor Construction in Process Account A GL account used to track the purchase cost of a fixed asset NaAD 104 MFG PRO USER GUIDE FIXED ASSETS Conventions A method for averaging depreciation in the first and last year s of a fixed asset s life This is required because assets are not always acquired on the first day of the year or disposed on the last day of the year MF
91. nce Biel Es UserMenu Edit Queue Options Help Rp IP Calendar FETE Year 1999 Fixed Asset Calendar Detail Per Period Start Period End 1 01 01 1999 03 31 1999 2 04 01 1999 06 30 1999 3 07 01 1999 09 30 1999 4 10 01 1999 12 31 1999 Add Detail Find Delete End Calendar Enter up to an eight character calendar ID Year Enter the year that applies to this fixed asset calendar Fig 2 6 Fixed Asset Calendar Maintenance 32 1 5 FAQAD 28 MFG PRO USER GUIDE FIXED ASSETS Fig 2 7 Fixed Asset Calendar Maintenance Fixed Asset Calendar Detail FAQAD Choose the Detail function to define fixed asset calendar periods and their start and end dates Fixed Asset Calendar Detail Per Period Start Period End 1 03 31 1999 2 04 01 1999 06 30 1999 3 07 01 1999 09 30 1999 4 10 01 1999 12 31 1999 Update Add Delete End Period Start Enter the start date for this period The default is one day after the previous Period Finish date Periods cannot overlap Period End Enter the end date for this period Periods cannot overlap Setting Up Books Use Book Maintenance 32 1 9 to set up depreciation books for fixed assets You can add modify and delete fixed asset books Any fixed assets that are depreciated must be assigned to a posting book For each book you specify If it is the posting book that updates the GL Any user defined fixed asset calendars a
92. not automatically updated Service Date Enter the date that this fixed asset was put into service This date defaults as the service date for each of the asset s books and is used to calculate depreciation The service date must exist in the GL calendar and any fixed asset calendar associated with the default books You cannot update the service date if the asset has been posted to the GL Cost Enter the amount paid to acquire the asset This cost is not necessarily a basis for a depreciation calculation This cost defaults as the cost for each of the asset s books You cannot update the cost if the asset has been posted to the GL You must make a basis adjustment on the Depreciation Adjustments screen Salvage Optionally enter a salvage value for this asset The salvage value must be less than the asset cost Salvage value is the estimated value of property at the end of its useful life It is the amount reasonably expected in an open market for the asset after it is no longer productive If a salvage value is defined at the beginning of the depreciation calculation it is used to reduce the depreciable base This amount defaults as the salvage amount for each of the asset s books when the depreciation method uses salvage value You cannot update the salvage amount if the asset has been posted to the GL See Setting Up Classes on page 31 for information gt See Setting Up Locations on page 30 for information
93. ns transfers adjustments and retirements Use the selection criteria to limit the information reported o x Periodic Activity Report UserMenu Edi Queue Options Help Bajar p o Selection Criteria Entity ES To Asset To Year Period 199908 Print Totals Only no Include Non Depreciating Assets no Print Totals Indicates whether you want a summary or detail report of the assets activity Yes The report prints totals for all asset activity No The report prints each individual asset s activity Depreciation Adjustment Report Use Depreciation Adjustment Report 32 5 3 to review any adjusted assets The report shows the type of adjustment and any relevant adjustment amounts Use the selection criteria to limit the information reported o x Depreciation Adjustment Report UserMenu Edit Queue Options Help b a e ele Selection Criteria Book amp To Location To Entity To Year Period 199908 Include Non Depreciating Assets no FIXED ASSETS REPORTS 99 Acquisition Report Use Acquisition Report 32 5 5 to view acquired assets within a specific period This report lists posting book information only Use the selection criteria to limit the information reported Fig 5 3 I Acquisition Report Acquisition Report 32 5 5 fro Depreciation Expense Report Use Depreciation Expense Report 32 5 7 to view depreciation expenses within a
94. nsurance data 68 option 58 retire 61 split 81 transaction comments 66 transfer 64 FAQAD units of production UOP 77 units of production UOP audit 76 user field maintenance 68 Fixed Asset Master 130 Fixed Asset Meter Detail 127 Fixed Asset Meter Master 128 Fixed Asset Method Master 128 Fixed Asset Retirements 87 Fixed Asset Transaction Post 90 Fixed Asset Transaction Void 93 Fixed Asset Transfers 85 fixed assets account types 13 creating 53 85 delete archive 94 deleting assets 94 depreciation adjustments 72 books 70 conventions 23 meters 49 methods 21 insurance data 68 language detail codes 15 multiple components 79 overview 8 partial retirements 63 partial transfers 65 retiring 61 87 setup 17 52 base data 11 books 28 business rules 20 49 calendars 27 classes 31 control file 18 depreciation methods 21 locations 30 meters 49 splitting 81 transaction comments 66 transactions 92 transferring 64 85 validated fields 14 work flow 8 Fixed Assets UOP Forecast Detail 129 flat rate depreciation method 38 G general ledger GL fixed assets 92 insurance data fixed assets 68 L Location Maintenance 30 locations fixed asset 30 M Meter Maintenance 49 meters fixed asset 49 Method Maintenance 21 methods depreciation 21 N number range management NRM fixed assets use of 19 P Periodic Activity Report 98 INDEX 135 R Retired Asset Delete Archive 94 retiring fixed assets 61 87 S salv
95. on Depreciation Charge 18 000 17 400 600 Sum of the Years Digits Sum of the years digits is an accelerated method that provides a decreasing fraction to the asset s depreciable basis The annual depreciation is calculated by applying a fraction to the asset s depreciable basis Each fraction uses the sum of the years digits as the denominator and the remaining years in the asset s service life as the numerator The numerator decreases each year while the denominator remains constant The formula for sum of the years digits depreciation is Depreciation Charge Depreciable Basis Number of Years Remaining Sum of the Years Digits Depreciable Basis Cost Salvage Value Sum of the Years Digits 14 2n FA QAD 38 MFG PRO USER GUIDE FIXED ASSETS Table 2 7 Sum of the Years Digits Depreciation Schedule FAQAD Example A company purchases a 20 000 car that has a 2 000 salvage value and a five year service life Depreciable Basis 20 000 2 000 18 000 Sum of the Years Digits 1 2 3 4 5 15 Table 2 7 illustrates the sum of the years digits depreciation schedule Remaining Depreciation Depreciation Year Life Fraction Calculation Expense 1 5 5 15 18 000 5 15 6 000 2 4 4 15 18 000 4 15 4 800 3 3 3 15 18 000 3 15 3 600 4 2 2 15 18 000 2 15 2 400 5 1 1 15 18 000 1 15 1 200 Flat Rate Flat rate calculates depreciation by using
96. operty including land inventory rented property and term interest in property Intangible property including goodwill trademarks and trade names Periodic Expense Account GL account used to track the amount of depreciation expense for the accounting period Purchase Price See Acquisition Cost Replacement Value Amount to replace a fixed asset Used for management purposes primarily in estimating budget or insurance requirements Not used for calculating depreciation Retirement Date Date of permanent removal of a depreciable asset from income producing activities Disposition can be made by sale exchange abandonment or destruction of the property Often referred to as Disposition Date Salvage The estimated value of property at the end of its useful life This amount is reasonably expected in an open market for the asset after it is no longer productive If a salvage value is defined at the beginning of the depreciation calculation it is used to reduce the depreciable base Serial Number A unique identifier for the fixed asset and is not necessarily the same as the asset ID Service Date Date asset goes into service A book service date is the date the asset went into service and depreciation starts for book purposes Sold For Amount Amount of cash received from the disposition of a fixed asset Splitting Divide a fixed asset containing a group of individual items into two separate assets Splitt
97. p Maintenance Eg Ep E IP Option Asset 1 Computer ption Sort Code EU Fixed Asset sort code Warranty Date 05 01 2002 Parent Supplier Receiver RC1001 PO Number P01003 Custodian Split From Split Date Update Accts Retire Tran Cmmts User Insur End Sort Code Optionally enter a sort code Use sort codes for sorting purposes and grouping similar assets within a category You can also use them to establish a standard for describing assets The field is validated against codes set up in Generalized Codes Maintenance for field fa_code For example sort codes can include the following entries FC Filing Cabinets FC2 Filing Cabinets 2 drawer FC4 Filing Cabinets 4 drawers Warranty Date Optionally enter an expiration date for the asset s warranty Parent Enter the parent asset ID for this asset if it is a component for another asset For example a keyboard is a component of a computer the parent asset Supplier Optionally enter a predefined supplier of this asset Define suppliers in Supplier Maintenance Receiver Optionally enter a receiver number for this fixed asset When you receive fixed assets you can create a receiving record for FAQAD 60 MFG PRO USER GUIDE FIXED ASSETS Fig 3 5 Fixed Asset Maintenance Asset Account Maintenance FAQAD verification against the supplier s invoice when it is entered into Accounts Payable AP Note There is no interface betw
98. r facl cal Calendar facl id fabk faci id Calendar Maste Asset E fab fabk id famt mstr Method Method Master Fixed Book famtr id fab det OD Meter cacld det Asset Calendar Detail Detail fab famtr id famtd det Custom Table Detail Meter FAQAD famtr mstr famtrd det Master Meter Detail famtr id famtrd famtr id FILE RELATIONSHIPS 111 Fixed Assets Il Fixed Assets II System Architect Mon Aug 02 1999 09 52 Fixed Asset Relationships v9 0 facd_det fabch_mstr Class Account Batch Master facls_id facd_facls_id fabch_id fabchd_fabch_id fa_mstr facls_mstr fabchd_det Asset Master Class Master Batch Detail facis id fabch facls id facis id fa facls id Class faloc_id fabchd_faloc_id fadf_mstr faloc_mstr Asset Book Location Master Default Master FA QAD 112 MFG PRO USER GUIDE FIXED ASSETS Fixed Assets Ill Fixed Assets III System Architect Thu Jun 24 1999 15 00 Fixed Asset Relationships v9 0 faloc_mstr fabd_det fauop_det Kam Location Location Master sg g Depreciation UOP Forecast faloc_id fabd_faloc_id Detail Detail 2 Asset Book Location Asset Book ab fa id fauop fa id faloc id fa faloc id fab fa id fabd fa id ab fabk id fauop fabk id fab fabk id fabd fabk id D f t fab_det faadj_mstr eM Asset x Asset Book A Iw i NS Asset Master ae 3 Fix
99. ring to Use Fixed Assets This chapter details the setup tasks you must complete before you can begin using Fixed Assets Introduction 18 Setting Up Control File Parameters 18 Setting Up Business Rules 20 Depreciation Methods and Conventions 34 Creating Meters 49 18 MFG PRO USER GUIDE FIXED ASSETS gt For details see the Fixed Assets Installation Guide Fig 2 1 Fixed Asset Control File 32 24 FAQAD Introduction Before you can add fixed assets to the system you must define the following Settings in the Fixed Asset Control File Business Rules Meters for the units of production depreciation method optional If your company used a version of MFG PRO prior to 9 0 you must convert your fixed asset data before setting up and using the new Fixed Assets module Setting Up Control File Parameters Use the Fixed Asset Control File 32 24 to specify If asset IDs are generated by the system or assigned manually If the system creates summary or detailed journal entries for fixed asset general ledger GL transactions The account sub account and cost center for intercompany transfers Fixed Asset Control File PREPARING TO USE FIXED ASSETS 19 Auto Generate Asset If Yes the system assigns unique asset IDs using the Number Range Management NRM sequence for assets entered in Fixed Asset Maintenance and Fixed Asset Batch Maintenance NRM is used to generate control and audit sequ
100. s Choose the Accts function to specify default GL accounts Fig 2 12 Class Maintenance FER Class Maintenance UserMenu Edit Queue Options Help Class Account R amp EP Default Maintenance Class AD02 Class Account Default Maintenance Type Account Description Asset Account FIXED ASSETS Accumulated Expense Accumulated Depreciatioi Periodic Expense Depreciation Expense Construction In Process Construction in Progress Gain on Disposal BEI Gain Loss on Disposal Loss on Disposal Gain Loss on Disposal Asset Suspense Fixed Asset Suspense Update End Account Enter a predefined GL account to be associated with this bSee GL fixed asset account type You can assign GL accounts to the Transactions in Fixed Assets on following fixed asset account types page 92 for more information Asset Account Accumulated Expense Periodic Expense Construction in Process Gain on Disposal Loss on Disposal Asset Suspense FAQAD 34 MFG PRO USER GUIDE FIXED ASSETS Table 2 4 Straight Line Depreciation Schedule FAQAD Depreciation Methods and Conventions Using Depreciation Methods Depreciation is the process of allocating the cost of an asset over its service life There are several methods of calculating depreciation Depreciation can be calculated one way for tax purposes and another for financial purposes Straight Line Straight line depreciation allocates the asset s cost evenly over its service l
101. s of production are Depreciation Per Unit of Production Depreciable Basis Total Units of Production Depreciable Basis Cost Salvage Value Depreciation Charge Units of Production Per Period Depreciation Per Unit of Production Example A company purchases a 25 000 stamping machine with a 2 000 salvage value The machine is expected to produce 150 000 units over its service life The depreciation per unit of production is 25 000 2 000 150 000 0 15 per unit FA QAD 40 MFG PRO USER GUIDE FIXED ASSETS Table 2 9 Units of Production Depreciation Schedule Table 2 10 Custom Table Depreciation Factors HNOQAD Table 2 9 illustrates the units of production depreciation schedule for 5 years Units of Production Depreciation Year Per Period Calculation Expense 1 30 000 30 000 0 15 4 500 2 25 000 25 000 0 15 3 750 3 20 000 20 000 0 15 3 000 4 40 000 40 000 0 15 6 000 5 30 000 30 000 0 15 4 500 Custom Table You can substitute custom depreciation tables for the standard depreciation methods for calculating depreciation Depreciation is calculated by specifying a depreciation factor for each period and year of the asset s life The depreciation factors are user defined and must equal 100 at the end of the asset s service life The formulas for custom table are Depreciation Charge Depreciable Basis Depreciation Factor Depreciable Basis Cost Salvage Valu
102. s on the disposition of an asset Partial If Yes this is a partial retirement and you split the existing asset into two separate assets The new asset created is retired CREATING AND MANAGING FIXED ASSETS 63 If this is a partial retirement and the asset has only one component enter either a percentage of the original cost in the Percent field or a currency amount in the Amount field Figure 3 7 illustrates this screen Fixed Asset Maintenance Bel Es UserMenu Edit Queue Options Help Eg Ep Br Retirement Asset fl Disposition Date 08 01 1999 New Asset ID 22 Percent 50 00 Amount New Asset ID Enter a unique asset ID for the components being removed from the asset If Auto Generate Asset is Yes in the Fixed Asset Control File the system automatically assigns an asset ID using the predefined Number Range Management sequence Percent If the asset has only one component enter the percentage of the original asset s cost to assign to the new asset You can also enter a currency amount in Amount Amount If the asset has only one component enter the base currency amount to assign to the new asset You can also enter a percentage of the original cost in Percent If this is a partial retirement and the asset has multiple components the system displays a list of assets By default all components are selected Figure 3 8 illustrates this screen Fixed Asset Maintenance el Es UserMenu Edit Queue Options Help
103. specific period by entity Use the selection criteria to limit the information reported Fig 5 4 Depreciation Expense Report Depreciation Expense Report 32 5 7 Print Totals Indicates whether you want a summary or detail report of the depreciation expenses Yes The report prints totals for all depreciation expenses No The report prints each individual asset s depreciation expense FAQAD 100 MFG PRO USER GUIDE FIXED ASSETS Asset Depreciation Array Report Use Asset Depreciation Array Report 32 5 9 to view assets lifetime depreciation expenses This report displays the original depreciation expense schedule and any adjustments Use the selection criteria to limit the information reported Fig 5 5 i Asset Depreciation Asset Depreciation Array Report ME E Array Report c 32 5 9 ah eg E Summary Indicates whether you want a summary or detail report of the asset s lifetime depreciation expenses Yes The report prints a summary for all lifetime depreciation expenses No The report prints each individual asset s lifetime depreciation expense Assets Owned Report Use Assets Owned Report 32 5 11 to view all your company s fixed assets You can view a detail or summary form Use the selection criteria to limit the information reported Fig 5 6 Assets Owned Asset Owned Report Report 32 5 11 FYIQAD FIXED ASSETS REPORTS 101 Year Period To Enter a range of p
104. sset i Fixed Asset Maintenance olx Maintenance UOP E O OS E Audit Ro amp Ga IP Asset 55555 UOP Audit Yr Per Estimated Accumulated Actual Units Consumed 1 000 000 1 000 000 o o 199902 1 000 000 2 000 000 o 0 199903 1 000 000 3 000 000 o o 199904 1 000 000 4 000 000 o o 200001 1 000 000 5 000 000 o o 200002 1 000 000 6 000 000 o 9 200003 1 000 000 7 000 000 o o 200004 1 000 000 8 000 000 o o End FAQAD CREATING AND MANAGING FIXED ASSETS 77 Units of Production and Depreciation Schedule Access this function by choosing UOP on the Depreciation Books screen If you are using the units of production UOP depreciation method use this function to update the total and estimated units of production You also track the actual period of production Fig 3 22 Fixed Asset Maintenance Of x Fixed Asset UserMenu Edit Queue Options Help Maintenance Units amp Ga Ir of Production Units of Production Asset E Total Units 77 777 777 Book NP05 Period Units 1 000 000 Unit of Measure ea Eff Period Meter Cost 5 555 72 Unit Cost 0 000071 Salvage 0 00 Depreciation Schedule Actual Units Consumed o o 1 500 000 1 500 000 1 450 000 2 950 000 Update Actual End Eff Period Enter the effective period that you want to use to adjust the total and estimated units of production The format is XXXXY Y where XXXX is the year and Y Y is the period Meter Enter a predefined meter ID Meters are used
105. ssociated with non posting books The unique sort sequence used for reporting A depreciable asset must be assigned to a posting book for fixed asset transactions to be recorded in the GL Multiple depreciation books are often required to meet different reporting needs An asset can be depreciated under an unlimited number of non posting books However only the posting book affects the GL PREPARING TO USE FIXED ASSETS 29 Fig 2 8 Book Maintenance el Es Book Maintenance UserMenu Edit Queue Options Help 32 1 9 E amp BS IP ook Sort Post Calendar Description 001 yes Posting Book NPB1 002 no Quarters Quarterly Non posting Book NPB2 003 no Biannual Biannual Non posting Book NPB3 004 no Annual Annual Non Posting Book NPB4 005 no Standard Standard Non Posting Book NPB5 006 no Standard Standard Non Posting Book NPB6 007 no Standard Standard Non Posting Book NPB7 008 no Standard Standard Non Posting Book NPB8 009 no Standard Standard Non Posting Book Book Enter a unique ID identifying the fixed asset book The information set up in Book Maintenance establishes default book information for assets set up in Fixed Asset Maintenance Sort Enter the order in which the system should display this book in browses reports and on the Depreciation Books screen in Fixed Asset Maintenance Post If Yes this book posts to the GL it is referred to as the posting book Fixed Asset Transaction Post 32 13 creates unposted
106. t For details see the Fixed Assets Installation Guide FAQAD Depreciation Adjustment Access this function by choosing Adjust on the Depreciation Books screen You can only access this function if the asset has been posted to the GL Use this function to add adjustments to the depreciation schedule Run Fixed Asset Transaction Post to create unposted transactions An audit trail is maintained showing a history of the depreciation activity After you run Fixed Asset Transaction Post you must run Transaction Post 25 13 7 to update the GL Fixed Asset Maintenance el Es UserMenu Edit Queue Options Help Rp amp B5 IP Computer Depreciation Adjustments Serv Date PB 07 01 1999 1 3 500 00 3 450 00 1999 07 Tax 07 01 1999 1 3 500 00 3 450 00 1999 07 Type Enter the adjustment type for the posted asset Run Fixed Asset Transaction Post to create the adjustment transactions An audit trail is maintained showing a history of the depreciation activity Note You cannot undo an adjustment for an asset that has been converted from a previous fixed asset system MFG PRO supplies the following adjustment types Basis Adjust Basis Lets you change the cost of the asset after depreciation has been posted The system uses the new basis to recalculate the depreciation schedule for the life of the asset Then the difference between the old depreciation schedule and the new depreciation schedule is calculated Any adjustm
107. t Press the spacebar or Enter key to select the components you want to split An asterisk indicates selection Fixed Asset Batch Maintenance Use Fixed Asset Batch Maintenance 32 7 to group similar fixed assets together in a batch and add them to the system as individual asset records Batch processing lets you group up to 25 fixed assets and add them to the system as individual asset records Nole Fixed asset batches have no relation or similarity to batches used in other MFG PRO financial modules After the assets are created you can modify them individually in Fixed Asset Maintenance FAQAD CREATING AND MANAGING FIXED ASSETS 83 Fig 3 28 i Fixed Assat Batch Mamtenonca ioj gt Fixed Asset Batch Uren Me ER Queue Options Hep Maintenance 32 7 Rp Bp D Batch Creation Date Batch Control 10 000 00 Total Cost 3 000 00 Total Assets 1 Asset Computer Class COMP Location 1 Service Date 07 01 1999 Cost 3 000 00 Salvage 250 00 Components 1 Total Units 0 Units Period 0 UM Batch Enter a unique batch ID or press Go to have the system assign a batch ID System generated batch IDs are in the format YYMMDDNN YY is the year MM is the month DD is the day and NN is the next batch number for the day Batch Control Enter a control amount for this batch The control amount is the total value for all the assets in the batch Use the control amount to set a minimum or maximum amount allowed for th
108. t and the unposted transactions are not created If any errors occur an error report is generated with the problematic journals and no unposted transactions are created You must fix the errors and run the Fixed Asset Transaction Post function again FAQAD 92 MFG PRO USER GUIDE FIXED ASSETS gt See Account Data on page 12 for more information FAQAD GL Transactions in Fixed Assets The following unposted transactions are created when you run Fixed Asset Transaction Post for each activity When an asset is acquired the following accounts are affected The acquisition cost debits the Asset account The acquisition cost credits the Construction in Process When the asset s depreciation is posted the following accounts are affected The depreciation expense debits the Periodic Expense account The depreciation expense credits the Accumulated Expense account When an asset is retired the following accounts are affected The acquisition cost credits the Asset account The accumulated depreciation debits the Accumulated Expense account The amount of the sale debits the Asset Suspense account If there is a gain on disposal the Gain on Disposal account is credited If there is a loss on disposal the Loss on Disposal account is debited When an asset is transferred within the same entity and different locations the following accounts are affected The asset s acquisition cost credits
109. t specify another index The primary index reflects the most common order or the most natural order by which records are sorted Index Name The name of the index Uni Unique Yes indicates only one record in the file can have a particular index value Field Name Each index has one or more field components Asc Ascending Yes indicates that records are ordered and accessed by ascending field values Abbr Abbreviated For character data fields a sort option that examines partial records Files with abbreviated indexes sort faster but require more disk space FYQAD 116 MFG PRO User Guide Fixed Assets The following symbols and conventions are used in the table listings Symbol Meaning Primary Index Shows where a column label wraps to next line Convention for Designating Fields Meaning x lt prefix gt user lt number gt prefix dec lt number gt prefix chr lt number gt lt prefix gt qad lt number gt lt prefix gt x lt number gt Extent of array field User field prj user1 User decimal data field prj dec01 User character field prj chr01 QAD reserved field prj qad01 Obsolete field prj xctr Table Definitions o faadj mstr Fixed Asset Adjustment Master Field Name Label Col Label Format Dec aadj amt Adjustment Amount Adj Amt gt gt gt gt gt gt gt gt gt 9 99 lt 10 aadj fabk id Book x 4 aadj famt id Method x 4 aadj fa id Asset x 12 aadj
110. tail famtrd det Fixed Asset Meter Master famtr mstr Fixed Asset Method Master famt mstr Stores UOP forecast data by period fauop det Fixed Asset Master fa mstr FAQAD Database Definitions 115 Table Conventions Database tables are presented with the following information Field Name Label Column Label Format Dec insd amt Amount gt gt gt gt gt gt 9 9 lt lt lt lt lt lt lt lt 10 insd dataset Related file x 12 insd date Date 99 99 99 Field Name The name of the field Field Label The label as it appears on screens Column Label The label that appears on reports Format How and what kind of data can be displayed Dec The maximum number of decimal places that can be stored Some fields are not currently used These fields are either User definable for custom programming Reserved for future use by QAD Each database file has at least one index By default PROGRESS sorts and retrieves records using the primary index which is indicated by an asterisk Indexes have the following attributes Index Name Uni Field Name Asc Abbr insd ins yes insd int nbr yes no insd line yes no insd nbrin no insd dataset yes no insd nbr yes no insd line yes no Primary Index Indicated with an asterisk The most frequently used index Each table has one and only one primary index PROGRESS uses the primary index when retrieving records or ordering records for a list like a report if you do no
111. taining Fixed Assets on page 89 for details gt See Chapter 5 Fixed Assets Reports on page 97 for details Table 1 1 Fixed Asset Programs FAQAD Maintain Fixed Assets You can post general ledger GL entries for acquisition depreciation expenses transfer retirement of assets and adjustments You can also correct any GL errors by creating reverse GL transactions for the original GL entries At period or year end you can optionally delete archive retired assets Fixed Asset Reports You can run fixed asset reports that provide accounting and management information The following reports are included in Fixed Assets Periodic Activity Report Depreciation Adjustment Report Acquisition Report Depreciation Expense Report Asset Depreciation Array Report Assets Owned Report Fixed Asset Programs Fixed Assets consists of the following programs Menu Number Description Program 32 1 1 Method Maintenance fatxmt p 32 1 2 Method Report famtrp p 32 1 5 Fixed Asset Calendar Maintenance facalmt p 32 1 6 Fixed Asset Calendar Report facalrp p 32 1 9 Book Maintenance fabkmt p 32 1 10 Book Browse fabr012 p 32 1 13 Location Maintenance falcmt p 32 1 14 Location Report falcrp p 32 1 17 Class Maintenance faclmt p 32 1 18 Class Report faclrp p 32 3 Fixed Asset Maintenance fafamt p INTRODUCTION TO FIXED ASSETS 11 Menu Number Description Program 32 4 Fixed Asset Browse fabr019 p 32 5 1 Periodic A
112. te Service Date Serv Date 99 99 9999 fab fabk id Book x 4 fab fabk seq Sequence Seq gt gt 9 ab famtr id Meter x 12 ab famt id Method x 4 fab fa id Asset x 12 fab life Life gt gt 9 99 lt 10 ab mod date Modified Date Mod Date 99 99 9999 ab mod userid User ID x 8 fab ovramt Override Accumulated Dep gt gt gt gt gt gt gt gt gt 9 99 lt 10 fab_ovrdt Override Depreciation Date 99 99 9999 ab_resrv Reserve gt gt gt gt gt gt 9 ab salvamt Salvage gt gt gt gt gt gt gt gt gt 9 99 lt 10 fab_um Unit of Measure UM x 2 fab_upcost Unit Cost gt gt gt gt gt gt 9 99 lt lt lt lt 10 ab uplife Total Units gt gt gt gt gt gt gt gt gt 9 ab upper Period Units gt gt gt gt gt gt gt gt gt 9 fab user1 Ufld1 x 8 fab user2 Ufld2 x 8 ab chr01 x 8 ab decO1 gt gt gt gt gt gt gt gt gt 9 99 lt 10 fab deco2 gt gt gt gt gt gt gt gt gt 9 99 lt 10 fab dte01 99 99 9999 ab int01 gt gt gt gt gt gt 9 ab int02 gt gt gt gt gt gt 9 fab 1log01 yes no fab qgadcO1 x 20 ab gadc02 x 20 ab qadc03 x 20 fab qadd01 gt gt gt gt gt gt gt gt gt 9 99 lt 10 fab qadd02 gt gt gt gt gt gt gt gt gt 9 99 lt 10 ab gadi01 gt gt gt gt gt gt 9 ab qadi02 gt gt gt gt gt gt 9 fab gadl01 yes no fab gadl02 yes no ab qadt01 99 99 9999 ab qadt02 99 99 9999 FYQAD 122 MFG PRO User Guide Fixed Assets Index Name Uni
113. ter a unique tag number for the asset component You can access this field only if you are adding a tag Description Enter up to 20 characters describing this asset component Amount Enter the amount paid to acquire the asset component This amount is automatically calculated by dividing the cost by the number of components entered on the Fixed Asset Maintenance header screen If you change this amount the total amounts for all asset components must equal the value in the Cost field on the Fixed Asset Maintenance header Serial Number Optionally enter a serial number for the asset This number is a unique identifier for the asset and is not necessarily the same as the asset ID CREATING AND MANAGING FIXED ASSETS 81 Split Access this function by choosing Split on the Asset Component Maintenance screen Use this function to divide an asset into two separate assets referred to as splitting Splitting is used to divide an asset containing a group of individual items into two separate assets Splitting is also used for partial retirements and transfers Enter a unique asset ID for the components being removed from the asset If Auto Generate Asset is Yes in the Fixed Asset Control File the system automatically assigns an asset ID using the predefined Number Range Management sequence The new asset is created containing the separate items and the appropriate percentage of the original asset cost salvage depreciation and deprecia
114. the Asset account for the old location and debits the Asset account for the new location The asset s accumulated depreciation debits the Accumulated Expense account for the old location and credits the Accumulated Expense account for the new location When an asset is transferred between two entities the following accounts are affected The asset s acquisition cost credits the old entity and debits the new entity The asset s acquisition cost also debits the Intercompany account for the old entity and credits the Intercompany account for the new entity MAINTAINING FIXED ASSETS 93 The asset s accumulated depreciation debits the Accumulated Expense account for the old entity and credits the Accumulated Expense account for the new entity The asset s accumulated depreciation also credits the Intercompany account for the old entity and credits the Intercompany account for the new entity Voiding GL Transactions Use Fixed Asset Transaction Void 32 14 to correct errors for unposted depreciation acquisitions transfers retirements and adjustments Reversing fixed asset transactions are generated for the original entries created by Fixed Asset Transaction Post You must run Transaction Post to update the GL You can void fixed asset transactions only if the GL is open for the period you want to void You cannot void entries for periods before the last posted period unless the last posted period is voided first You must use
115. the Fixed Asset Transaction Post function to repost the voided periods Unposted fixed asset transactions are created for voids that affect posting books For voided depreciation the fixed asset transactions reverse the postings for accumulated depreciation and depreciation expense Fig 4 2 Fixed Asset Transaction Yoid Fixed Asset User Menu Edi Queue Options Help Transaction Void 32 14 Entity Asset Year Period Effective Daybook Void Transactions Output Batch ID Entity To Enter a range of entities to select GL transactions to void Asset To Enter a range of asset IDs to select assets to void Effective Enter the GL effective date for the void transaction This is the date the transactions will be posted to the GL The default is the system s date FAQAD 94 MFG PRO USER GUIDE FIXED ASSETS Fig 4 3 Retired Asset Delete Archive 32 23 FAQAD Daybook Enter a predefined daybook code Define daybooks in Daybook Maintenance and Default Daybook Maintenance This daybook is the default for FA transaction types and FA document types If a default daybook is not defined for FA the system daybook defaults Void Transactions This field determines whether GL transactions are voided Yes Fixed asset transactions are voided and an audit trail is printed No The system generates the journal report and the fixed asset transactions are not voided Deleting and Archiving Fixed Assets
116. thod ID Set up methods in Method Maintenance The ID is a four character alphanumeric ID and cannot start with a zero Life If you are adjusting the life enter the new expected useful life for the asset The expected life is used in calculating depreciation over the life of the asset Adj Amt For Bonus Depreciation enter the bonus amount Bonus adjustments are not allowed in posted suspended or final periods of the depreciation schedule The bonus amount must not exceed the remaining total of the depreciation schedule For Adjust Basis enter the new asset basis The new basis must be greater than the posted depreciation and cannot be negative gt See Setting Up Methods on page 21 for information FA QAD 74 MFG PRO USER GUIDE FIXED ASSETS Fig 3 18 Fixed Asset Maintenance Book Detail FAQAD Yr Per Enter the year and the period for this adjustment The format is XXXXYY where XXXX is the year and YY is the period You can modify this field only if the adjustment type is Bonus Depreciation Suspend Depreciation Reinstate Depreciation Book Detail Access this function by choosing Detail on the Depreciation Books screen Use this function to view book detail and optionally override accumulated depreciation You might need to override accumulated depreciation if you convert from another fixed assets system Enter the date that the new fixed assets system begins calculating depreciation
117. ting depreciation for the asset s acquisition quarter Fig 2 4 Method Maintenance Method Detail gt See Using Conventions on page 41 for information FAQAD 24 MFG PRO USER GUIDE FIXED ASSETS Table 2 1 Full Quarter Depreciation Factors Table 2 2 Half Quarter Depreciation Factors FAQAD Quarter in Acquisition Retirement Service Factor Factor 1 100 0 2 7596 2596 3 50 50 4 25 75 5 Half Quarter A half quarter s depreciation is calculated for the first and last quarter of the asset s life Table 2 2 indicates the factors used in calculating depreciation for the asset s acquisition and retirement quarters Quarter in Acquisition Retirement Service Factor Factor 1 87 5 12 5 2 62 5 37 5 3 37 5 62 5 4 12 5 87 5 6 Full Year A full year of depreciation is taken regardless of the period that the asset was put into service No depreciation is calculated for the last year of the asset s life 7 Half Year Standard A half year s depreciation is calculated for the first and last year of the asset s life 8 Modified Half Year Version 1 If the asset is put into service in the first half of the year a full year of depreciation is calculated for the year If the asset is put in service in the second half of the year no depreciation is taken If the asset is disposed of in the first half of the year no depreciation is calculated for the year If the asset is disposed o
118. tion adjustments The Split From and Split Date fields on the Option screen are updated to reflect the source asset and the date of creation Fig 3 26 Fixed Asset Maintenance olx Fixed Asset UserMenu Edt Queue Options Help Maintenance Split eem em Asset Component Maintenance Tag Description Cost Serial Number mus ID 22 Percent Amount New Asset ID Enter a unique asset ID for the components being removed from the asset If Auto Generate Asset is Yes in the Fixed Asset Control File the system automatically assigns an asset ID using the predefined Number Range Management sequence Percent If the asset has only one component enter the percentage of the original asset s cost to assign to the new asset You can also enter a currency amount in Amount Amount If the asset has only one component enter the base currency amount to assign to the new asset You can also enter a percentage of the original cost in Percent NOQAD 82 MFG PRO USER GUIDE FIXED ASSETS If the asset has multiple components you can choose from a list By default all components are selected Fig 3 27 Fixed Asset Fixed Asset Maintenance UserMenu Edi Queue Options Help Maintenance Component 69 EP Selection olx Computer Asset Component Maintenance Description Cost Serial Number New Asset ID 22 Percent 0 00 Amount 0 00 Component Selection Sel This field indicates whether to split this componen
119. tions Help Method Rp Bp Ba 2 Maintenance Method Detail Method Declining Balance to S L AT o x Switch to Depreciation Type 3 Convention 9 Half Year Version 2 straight Switch to SL yes line option Factor 200 0 Use Salvage no Actual Days yes Expected Life 15 00 Example A company purchases a 20 000 car that has a 2 000 salvage value and a five year service life The company uses a percentage multiplier of 15096 to calculate the depreciation for the automobile The annual depreciation rate is calculated by annualizing the percentage multiplier over the automobile s service life 15096 5 years 30 FVYQAD PREPARING TO USE FIXED ASSETS 37 Table 2 6 illustrates the depreciation charges for declining balance and straight line methods Table 2 6 Declining Declining Balance Balance Switch to _ Declining Switch to Straight Line Balance Straight Line Straight Line Accumulated Er Year Depreciation Depreciation Depreciation Depreciation SNR 1 6 000 3 600 6 000 6 000 2 4 200 3 600 4 200 10 200 3 2 940 3 600 3 600 13 800 4 2 058 3 600 3 600 17 400 5 1 440 60 3 600 600 18 000 In year 3 the declining balance depreciation charge is less than the straight line depreciation charge therefore the method switches to straight line In year 5 the accumulated depreciation exceeds the asset s depreciable basis and therefore must be adjusted using the following equati
120. uary 0 100 February 0 100 March 0 100 April 0 100 May 0 100 June 0 100 July 200 100 August 200 100 September 200 100 October 200 1000 November 200 0 December 200 0 Half Year The computer is placed into service on March 14 1999 and it is retired on October 13 2000 The first year depreciation and depreciation for the 10 periods of ownership calculations are Annual Depreciation 1 200 2 600 Depreciation Per Period 600 10 60 The retirement depreciation calculation is Depreciation 1 200 2 600 When the computer is retired 900 of depreciation has already been taken and only 600 is allowed in the retirement year Depreciation must be reversed in the retirement period Therefore a depreciation expense credit of 300 900 600 is applied in the retirement period PREPARING TO USE FIXED ASSETS 47 Table 2 20 illustrates the depreciation taken for each period Table 2 20 Period 1999 2000 Half Year January 0 100 Depreciation February 0 100 March 60 100 April 60 100 May 60 100 June 60 100 July 60 100 August 60 100 September 60 100 October 60 300 November 60 0 December 60 0 Modified Half Year Version 1 The computer is placed into service on March 14 1999 and it is retired on October 13 2000 The depreciation for the 10 periods of ownership calculations are Depreciation Per Period 1 200 10 120 Since the computer is retired in
121. xed asset books that use the meter FAQAD 52 MFG PRO USER GUIDE FIXED ASSETS Fig 2 16 Fixed Asset Meter Fixed Asset Meter Maintenance nf x Maintenance Assets of Meter plem eel Assets Of Meter FAQAD CHAPTER 3 Creating and Managing Fixed Assets This chapter describes how to create and manage fixed assets Introduction 54 Fixed Asset Maintenance 55 Fixed Asset Batch Maintenance 82 Fixed Asset Transfers 85 Fixed Asset Retirements 87 54 MFG PRO USER GUIDE FIXED ASSETS FVYQAD Introduction After you define the control file parameters and your company s business rules you can add fixed assets to the system You can add fixed assets individually in Fixed Asset Maintenance or create a batch of similar assets in Fixed Asset Batch Maintenance After assets are created you can perform multiple functions using Fixed Asset Maintenance Your company may not use all of these functions and not all of the functions are required when managing assets in Fixed Asset Maintenance The functions include Maintaining asset account information Retiring or transferring an asset Entering asset comments Maintaining user fields for customizations Maintaining insurance data Adjusting depreciation books Adjusting posted depreciation Maintaining book detail Maintaining information for the units of production depreciation method Maintaining information about the asset s components Dividing a

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