Fixed Asset Creation: To Create an Asset with Multiple Units

The following activity will walk you through the process of creating and reconciling a fixed asset with multiple units.

Story

Suppose that on May 5, 2024, SweetLife Fruits & Jams purchased five office software licenses. This should be defined in the system as one fixed asset that contains multiple units. Acting as a SweetLife accountant, you need to manually create the asset, specify a quantity of five units for the asset, and reconcile the asset with this purchase.

Configuration Overview

In the U100 dataset, the following tasks have been performed for the purposes of this activity:

  • On the Enable/Disable Features (CS100000) form, the Fixed Asset Management feature has been enabled.
  • On the Chart of Accounts (GL202500) form, the needed GL accounts have been created.
  • On the Vendors (AP303000) form, the OFFICEUP vendor has been created.
  • On the Fixed Assets Preferences (FA101000) form, the Automatically Release Acquisition Transactions check box has been selected.

Process Overview

In this activity, on the Bills and Adjustments (AP301000) form, you will first create and release an AP bill for the purchase of the software licenses. On the Fixed Assets (FA303000) form, you will create the needed software asset with five units. On the Reconciliation tab of the same form, you will reconcile the fixed asset with the purchase transaction.

System Preparation

Before you begin creating a fixed asset with multiple units, do the following:

  1. Launch the MYOB Acumatica website with the U100 dataset preloaded, and sign in as an accountant by using the johnson username and the 123 password.
  2. In the info area, in the upper-right corner of the top pane of the MYOB Acumatica screen, click the Business Date menu button, and select 5/15/2024 on the calendar.
  3. In the company to which you are signed in, be sure that you have implemented the fixed asset functionality by performing the following prerequisite activities: Fixed Assets: To Configure the System for Fixed Asset Management, Fixed Assets: To Configure the Fixed Asset Functionality, and Fixed Assets: To Create Fixed Asset Classes.
  4. On the Company and Branch Selection menu on the top pane of the MYOB Acumatica screen, select the SweetLife Head Office and Wholesale Center branch.

Step 1: Creating an AP Bill

To create the AP bill that will produce as the purchasing transaction, do the following:

  1. On the Bills and Adjustments (AP301000) form, add a new record.
  2. In the Summary area, specify the following settings:
    • Type: Bill
    • Vendor: OFFICEUP
    • Date: 5/15/2024 (inserted automatically)
    • Post Period: 05-2024 (inserted automatically)
    • Description: Office software
  3. On the Details tab, click Add Row on the table toolbar, and specify the following settings in the added row:
    • Branch: HEADOFFICE
    • Transaction Descr.: Office software
    • Quantity: 5
    • Unit Cost: 150
    • Account: 15010 (Accrued Purchases: Fixed Assets)
  4. On the form toolbar, click Remove Hold, and then click Release to release the AP bill.

Step 2: Creating a Fixed Asset with Multiple Units

To create a fixed asset, do the following:

  1. On the Fixed Assets (FA303000) form, add a new record.
  2. In the Summary area, specify Office Software in the Description box.
  3. On the General tab, specify the following settings:
    • Asset Class: SOFTWARE
    • Asset Type: SOFTWARE (inserted automatically from the fixed asset class settings)
    • Quantity: 5
    • Useful Life, Years: 3.0000 (inserted automatically from the fixed asset class settings)
    • Receipt Date: 5/15/2024
    • Placed-in-Service Date: 5/15/2024
    • Orig. Acquisition Cost: 750
    • Branch: HEADOFFICE
    • Department: ADMIN
  4. On the form toolbar, click Save.
  5. On the form toolbar, click Remove Hold, which causes the asset to be assigned the Active status.
  6. On the form toolbar, click Save to save the asset.

Step 3: Reconciling the Fixed Asset

To reconcile the asset with the purchase, do the following:

  1. While you are still on the Fixed Assets (FA303000) form with the asset opened, go to the Reconciliation tab.
  2. In the Account box, make sure that 15010 (Accrued Purchases: Fixed Assets) is selected.
  3. In the row with the Orig. Amount of 750.00, select the unlabeled check box, and make sure that the Selected Quantity is set to 5.00 and the Selected Amount is set to 750.00.
  4. On the table toolbar, click Process.
  5. On the form toolbar, click Save to save the generated transaction and reconcile the asset.
    Tip: You can skip reconciliation for any fixed asset if the Require Full Reconciliation Before Disposal check box is cleared on the Fixed Assets Preferences (FA101000) form.