Deductions from Assets: Generated Transactions
To process deductions from fixed assets, you create and process a debit adjustment. When making a deduction, the system creates a Purchasing– transaction and a Reconciliation– transaction. The system generates the GL transactions described in the following sections.
Transaction Generated for Purchasing–
[1]Can we be more precise about exactly what causes the system to generate the GL transaction? "Process a deduction" is fuzzy about two aspects: what system documents or entities = "a deduction" and what "process" entails. 2023/07/0917:32:04-04:00When you process a deduction from a fixed asset, the system generates the following general ledger transaction.
| Account | Source of Account | Debit | Credit |
|---|---|---|---|
| FA Accrual account | The FA Accrual Account box on the Fixed Assets Preferences (FA101000) form | Amount | 0.00 |
| Fixed Asset account | The Fixed Asset Account box on the GL Accounts tab of the Fixed Asset Classes (FA201000) form for the asset class | 0.00 | Amount |
You can view the reference number of the GL batch in the Batch Nbr. column on the Transactions tab of the Fixed Assets (FA303000) form. The reference number is also a link that you can click to view the GL batch on the Journal Transactions (GL301000) form.
Transaction Generated for Reconciliation–
When you process a deduction from a fixed asset, the system generates the following general ledger transaction.
| Account | Source of Account | Debit | Credit |
|---|---|---|---|
| Expense account | The expense account specified in the Account column on the Details tab of the Bills and Adjustments (AP301000) form for the debit adjustment | Amount | 0.00 |
| FA Accrual account | The FA Accrual Account box on the Fixed Assets Preferences (FA101000) form | 0.00 | Amount |
You can view the reference number of the GL batch in the Batch Nbr. column on the Transactions tab of the Fixed Assets (FA303000) form. The reference number is also a link that you can click to view the GL batch on the Journal Transactions (GL301000) form.