Fixed Assets

- Asset management system id FA

- It is a complete asset management solution that accurately maintains the financial information of organization property and equipment, and
helps to meet global accounting and tax requirements.

Asset Key Flex fields

There are 3 Key Flex fields In Fusion Asset
1. Asset Category Flex field
2. Asset Location Flex Field
3. Asset Key Flex field

- GL have one KFF, KFF purpose is to create and maintain the COA. By using A/C KFF we create COA. We maintain all the info at time of
transaction creation.
- In FA Record transaction to capture into we have to maintain using the KGG available in FA

FA have 3 KFF
- CATAGORY - Category of Assets, major and minor classify. The assets we can maintain based on classification. Calculating depreciation.
- LOCATION - we can track the location of assets
- ASSET KEY - With additional identification use this.
Fixed Assets - Asset Category Flex Field
- It is a mandatory flex field which is used to groups assets by financial information
- New category structure can be created but we can enable on
- Maximum seven segments can be created in the category structure.
- Two segments are mandatory those are "Major and Minor"
- Multiple structure can be created but use only one.

Step 1:- Define Asset Category Flex Field Structure

N: Financials-Fixed Assets-Manage Fixed Assets Key Flexifields-Click on Search-Place Curser on Asset category-go to Manage Structure -
Click on Search- Place Cursor on Asset Category Flexifield- Click on Edit
/ Blank Search you can find three Key flex fields (Asset, category, location) /
/ At time only one active structure, disable existing one for create new /

- CATEGORY -
/ Select category and click Manage structure/
[+]
- Structure Code = Category KFF
- Name = Category KFF
- Delimiter = -
> Save
> Segments
[+] MAJOR / Sail point Major Category Value set/
- Segment Code = Major
- API Name = Major
- Name = Major
- Sequence Number = 1
- Prompt = Major
- Short Prompt = Major
- Display Width = 30
- Column Name = Segment 1
- Default Value set code = Major
> Segment Label
/ Track at segment level and depreciation calculation /
- Major Category
> Save and close
> Segments
[+] MINOR / Sailpoint Minor Category Value set/
- Segment Code = Minor
- API Name = Minor
- Name = Minor
- Sequence Number = 2
- Prompt = Minor
- Short Prompt = Minor
- Display Width = 30
- Column Name = Segment 2
- Default Value set code = Minor
> Segment Label
- Minor Category
> Save and close
> Save and Close

Manage Structure Instance

[+]
- Structure Instance Code = Sailpoint_CAT_Instance
- API name = xxxx
- Name = xxxx
[-] Enable
- Structure Name = Category KFF
> Segment Instance
- Major [edit]
[-] Require
- Minor [edit]
[-] Require
> Save and close
> Done
/ Deploy Flex fields /

Step 2:- Create Segment Values

N: Financials- Fixed Assets-Manage Fixed Assets Flex Field Value Sets-Great Value Set
- CATEGORIES -
[+] MAJOR
- Value Set Code = Major
- Module = Assets
- Validation Type = Independent
- Value Data Type = Character
> Definition
- Value Subtype = Text
 - Maximum Length = 30
> Save and Close

> [+] MINOR

- Value Set Code = Minor
- Module = Assets
- Validation Type = Dependent
- Value Data Type = Character
> Definition
- Value Subtype = Text
- Maximum Length = 30
> Independent Value Set
/ Specify it depended on which Independent asset /
- Value set Code = Major
> Save and Close

Fixed Assets - Asset Location Flex Field

- It is a mandatory Flex Field which is used to group and track assets by physical location
- New category structure can be created but we can enable only one structure
- Maximum seven segments can be created in the location flexifield structure.
- One is mandatory segment that is “State” Segment

Step 1:- Define Location Flex Field Structure

N:: Financials-Fixed Assets-Manage Fixed Assets Key Flexifields-Click on Search-Place Cursor on Location Flexifields-Go to Manage
Structure-Click on Search-Place Cursor on Location Flexifield- Click on Edit
/ Blank Search you can find three Key flex fields (Asset, category, location) /

- LOCATION -
/ Select Location and click Manage structure/
> [+]
- Structure Code = LOCATION
- Name = LOCATION
- Delimiter = -
> Save
> Segments
> [+] COUNTRY / Sailpoint Country Value set/
- Segment Code = Country
- API Name = Country
- Name = Country
- Sequence Number = 1
- Prompt = Country
- Short Prompt = Country
- Display Width = 30
- Column Name = Segment 1
- Default Value set code = Country
> Save and close
> Segments
> [+] State / Sailpoint State Value set/

- Segment Code = State

- API Name = State
- Name = State
- Sequence Number = 2
- Prompt = State
- Short Prompt = State
- Display Width = 30
- Column Name = Segment 2
- Default Value set code = State
> Save and close
> Segments
> [+] City / Sailpoint City Value set/

- Segment Code = City

- API Name = City
- Name = City
- Sequence Number = 4
- Prompt = City
- Short Prompt = City
- Display Width = 30
- Column Name = Segment 4
- Default Value set code = City
> Save and close
> Save and close

MANAGE STRUCTURE INSTANCES

[+]
- Structure Instance Code = Sailpoint_LOC_Instance
 - API name = xxxx
- Name = xxxx
[-] Enable
[-] Dynamic combination creation allowed
- Structure Name = Location KFF
> Segment Instance
- Country [edit]
[-] Require
- State [edit]
[-] Require
- City [edit]
[-] Require
> Save and close
/ Deploy Flex fields /

Step 2:- Create Segment Values

N: Financials-Fixed Assets-Manage Fixed Assets Flex Field Value Sets-Query
- LOCATION -
[+] COUNTRY
- Value Set Code = Country
- Module = Assets
- Validation Type = Independent
- Value Data Type = Character
>Definition
- Value Subtype = Text
- Maximum Length = 30
> Save and Close

[+] State
- Value Set Code = State
- Module = Assets
- Validation Type = Independent
- Value Data Type = Character
>Definition
- Value Subtype = Text
- Maximum Length = 30
> Save and Close

[+] County
- Value Set Code = County
- Module = Assets
- Validation Type = Independent
- Value Data Type = Character
>Definition
- Value Subtype = Text
- Maximum Length = 30
> Save and Close

[+] City
- Value Set Code = City
- Module = Assets
- Validation Type = Independent
- Value Data Type = Character
>Definition
- Value Subtype = Text
- Maximum Length = 30
> Save and Close

Fixed Assets - Asset Key Flex Field

- It is an optional flex field which is used to group assets based on non-financial information.
- New category structure can be created but we can enable only one structure
- Maximum ten segments can be created in the asset key Flex Field structure.
Step 1:- Define Asset key Flex Field Structure
N: Financials-Fixed Asset-Manage Fixed Asset key Flex Fields-click on Search-select Asset Key Flex Field-Go to Manage Structure-
Search
/ Blank Search you can find three Key flex fields (Asset, category, location) /
- ASSET KEY -
/ Select Location and click Manage structure/
> [+]
- Structure Code = ASSET KEY
- Name = ASSET KEY
- Delimiter = -
> Save
> Segments
> [+] Asset Key / Sail point Asset Key Value set/
- Segment Code = Asset
- API Name = Asset
 - Name = Asset
- Sequence Number = 1
- Prompt = Floor
- Short Prompt = Asset
- Display Width = 30
- Column Name = Segment 1 / up to 10 segments /
- Default Value set code = Asset key
> Save and close
> Save and close
MANAGE STRUCTURE INSTANCES
[+]
- Structure Instance Code = Sailpoint_KEY_Instance
- API name = xxxx
- Name = xxxx
[-] Enable
- Structure Name = Asset KFF
> Segment Instance
- Asset Key [edit]
[-] Require
> Save and close
/ Deploy Flex fields /

Step 2:- Create Segment Values

N: Financials-Fixed Assets-Manage Fixed Assets Flex Field Value Sets-Query
- ASSET KEY
[+]
- Value Set Code = Asset Key
- Module = Assets
- Validation Type = Independent
- Value Data Type = Character
>Definition
- Value Subtype = Text
- Maximum Length = 30
> Save and Close

1. Fixed Asset Category Flex Field:

 Usage:
 Categorization: This Flex Field allows you to categorize fixed assets according to your organization's specific needs.
You can define different categories, such as machinery, vehicles, office equipment, buildings, or any other
classification relevant to your business.
 Asset Lifecycle: Categorization helps in managing the asset lifecycle. You can track assets from acquisition to
disposal based on their category, making it easier to plan for maintenance, depreciation, and replacement.
 Financial Reporting: It simplifies financial reporting by allowing you to group assets within specific categories for
accounting and reporting purposes.
 Compliance: Some industries have regulatory requirements that mandate the classification of assets, and this Flex
Field ensures compliance with those standards.
2. Fixed Asset Location Flex Field (As described in the previous response):
 Usage: This Flex Field is used to track and manage the physical locations of fixed assets. It provides granularity in asset
location and aids in efficient asset management, reporting, security, and compliance.
3. Asset Key Flex Field:
 Usage:
 Asset Identification: The Asset Key Flex Field can be used to uniquely identify and label each fixed asset. It can
include an alphanumeric code or a combination of characters that make it easier to differentiate between assets.
 Search and Retrieval: The asset key becomes a quick reference for asset lookup and retrieval. You can use it to search
for specific assets in your asset management system.
 Maintenance and Service: Asset keys make it easier for maintenance personnel to identify and work on specific assets,
reducing the risk of errors and ensuring efficient maintenance procedures.
 Audit and Accountability: Asset keys enhance accountability and auditability. When assets are labeled with unique
keys, it's easier to track their movements, changes in ownership, and history.

Fixed Assets - System Controls

- System controls provide information about the structure of your company
- These are controlling features at server level
- It will determine following 4 things
1. Enterprise Name
2. Oldest Date Placed in Service
3. Flex field Structures
4. Automatic Asset Numbering
- Manage system control is one time set up, you can use existing one. Once it done, done.
- Instance select as manage system control.
- Here available FLEXFIELD STRUCTURES only use (Category, Location, and Asset Key)
- If already assign to flex field structure use that, we can’t modify...
- Others not use, because only one structure use.
- As for FA product this not BU specific, if it is for 10 countries these are fix. Even you use multiple structures no use.
 Step:- Define System Controls
N: Setup: Financials-Fixed Assets- Manage System controls
[+]
>Flex field Structure
- Category flex field = Sailpoint_CAT_Instance
- Locating flex field = Sailpoint_LOC_Instance
- Asset Key flex field = Sailpoint_KEY_Instance
>Automatic Asset Numbering
- Starting Asset Number = 1000
- Last asset number used = 1230
/ Last asset number will change while assign asset number /
> Save and close

Fixed Assets - Fiscal Year

- Define the start date and end date for each of your fiscal years starting from the earliest date placed in service through at least one fiscal
year beyond the current fiscal year.
- By using this asset life list out.
- Calendar like this oldest start and future asset last date. These are called range (1999 – 2030).

Step: - Create Fiscal Year

N: Financials-Fixed Assets-Manage Fiscal Year- Create
> [+]
- Name = Fiscal_Year
- Description = Fiscal_Year
> Save
/ It will enable "FISCAL YEAR" /
> [+]
Fiscal start end mid
2022 1-1-22 12-31-22 7-1-22
/ create as many as by + /
> Save and Close

Why You Should Use Fiscal Years:

1. Accurate Financial Reporting: Using fiscal years ensures that your fixed asset transactions, depreciation calculations, and financial
statements are aligned with your organization's fiscal calendar. This alignment is crucial for accurate financial reporting and analysis.
2. Compliance with Accounting Standards: Fiscal year setups are essential for complying with accounting standards such as Generally
Accepted Accounting Principles (GAAP) or International Financial Reporting Standards (IFRS), which often require reporting on an
annual basis.
3. Tax Compliance: Many tax authorities require organizations to report fixed asset values and depreciation expenses on a fiscal year basis.
Accurate fiscal year setup helps in meeting these tax compliance requirements.
4. Depreciation Scheduling: The depreciation of fixed assets is typically done on a periodic basis, usually aligned with fiscal years. Setting
up fiscal years allows for the proper scheduling and calculation of depreciation expenses.
5. Management and Decision-Making: Accurate fiscal year data helps management make informed decisions regarding asset acquisitions,
disposals, and maintenance, as it provides a clear picture of asset performance over time.
Where You Should Use Fiscal Years:
1. Asset Transactions: When recording asset acquisitions, transfers, and retirements, you should specify the fiscal year and period in which
these transactions occurred. This ensures that the asset's financial impact is attributed to the correct fiscal period.
2. Depreciation Calculations: Depreciation calculations are typically performed on a fiscal year basis. Ensure that the depreciation methods
and rates are aligned with the fiscal year structure to calculate depreciation expenses accurately.
3. Financial Reporting: When generating financial reports within Oracle Fusion Fixed Assets, the system uses the fiscal year structure to
organize and report on fixed asset data. Fiscal years are used as the basis for income statements and balance sheets.
4. Regulatory Compliance: Fiscal year setups are used to ensure compliance with accounting and tax regulations specific to your region.
Oracle Fusion Fixed Assets can be configured to meet the regulatory requirements of your industry and location.
5. Period Close: Fiscal year periods play a role in period closure procedures. By correctly aligning asset transactions with fiscal periods,
you can ensure a smooth closing process and accurate financial records.
6. Analytics and Trend Analysis: Historical fiscal year data is invaluable for trend analysis and long-term planning. It allows you to assess
the performance and value of your fixed assets over time.

Fixed Assets - Depreciation Calendar/ Create Asset/Depreciation/Prorate Calendar

- The depreciation calendar determines the number of accounting periods in your fiscal year
- To calculate depreciating, we use depreciation calendar we have to verify the periods what we create at account calendar. Period name
match with both calendar. Otherwise depreciation can't transfer to GL.
- Why do we need FA calendar?
- In FA keep open one period only. But in GL more than one.
- Period status Open/close only. If you open another, close current one. Because of this we need FA calendar.
Manage accounting calendar / check periods name format/

Step:- Create Depreciation Calendar

N: Financials-Fixed Assets-Manage Asset Calendars
> [+]
- Name = Depreciate
- Description = Depreciate Calendar
- Fiscal Year Name = Fiscal Year
- Period per Year = 12 /Adjustment period used only in GL, not in Sub ledgers/
- Period Suffix = Calendar
> Period
Period name period number start end
 Feb-2022 2 2-1-22 2-28-22
Jan-2022 1 1-1-22 1-31-22
> Save and Close

1. Setting up Depreciation Periods:

 The Depreciation Calendar is used to define and set up depreciation periods for your assets. These periods can be based on various
factors, including fiscal years, calendar months, or custom periods.
2. Accurate Depreciation Calculation:
 The primary purpose of the Depreciation Calendar is to ensure that the depreciation of fixed assets is accurately calculated in accordance
with accounting standards and organizational policies. It helps in spreading the cost of an asset over its useful life.
3. Compliance and Reporting:
 By using the Depreciation Calendar, organizations can ensure compliance with accounting regulations and standards, such as Generally
Accepted Accounting Principles (GAAP) or International Financial Reporting Standards (IFRS). This is crucial for accurate financial
reporting.
4. Aligning with Fiscal and Reporting Periods:
 The Depreciation Calendar allows organizations to align asset depreciation with their fiscal and reporting periods. This ensures that
depreciation expenses are recognized in the correct periods for financial statements and tax reporting.
5. Forecasting and Budgeting:
 Having accurate depreciation schedules through the Depreciation Calendar helps organizations in forecasting future depreciation
expenses. This information is useful for budgeting and financial planning.
6. Asset Tracking and Maintenance:
 The Depreciation Calendar can also be used to keep track of maintenance and service schedules for fixed assets. It helps in planning
maintenance activities and cost allocation.
7. Depreciation Methods:
 The Depreciation Calendar allows organizations to specify different depreciation methods for various assets, such as straight-line,
declining balance, or units-of-production. This flexibility ensures that depreciation is calculated based on the chosen method.
8. Period-End Closing:
 The Depreciation Calendar is essential for period-end closing processes. It helps in closing depreciation books and generating accounting
entries for each period, ensuring that financial records are up-to-date and accurate.

Fixed Assets - Prorate calendar

- Oracle Fusion Assets uses prorate and retirement conventions to determine how much depreciation to take in the first and last year of an
asset's life.
- Which date to calculate depreciation. Like daily, monthly calculate.
- If we start using asset from today, do we calculate depreciation for monthly or weekly? These all decide by using this
- How we exactly calculate the depreciation define by this.

Step :- Create Prorate Calendar

N: Financials-Fixed Assets-Manage Prorate Conventions
[+]
- Name = Prorate monthly/weekly/daily/next month
- Description = Prorate_Convention
- Reference Data Set = Common Set
- Fiscal Year Name = Fiscal
[-] Depreciate when placed in service
> Prorate Dates
[+]
Start End Prorate
2/1/22 2/28/22 2/28/22
1/1/22 1/31/22 1/31/22
> Save and Close

1. Incorrect Proration Method:

 Error: Using the wrong proration method, such as not prorating depreciation at all or using an inappropriate method for the
asset type.
 Solution: Review the asset's characteristics and ensure that the correct proration method is selected in the prorate calendar.
This may involve straight-line proration or other methods like monthly or daily.
2. Incorrect Calendar Setup:
 Error: Creating a prorate calendar with incorrect periods or dates, causing depreciation to be calculated inaccurately.
 Solution: Double-check the prorate calendar setup to ensure the periods align with your organization's fiscal periods. Make
corrections as needed.
3. Miscalculated Proration Periods:
 Error: Miscalculating the number of days or months for proration, leading to inaccurate depreciation expenses.
 Solution: Carefully calculate the proration periods and ensure that they match the asset's in-service or disposal dates. Adjust the
calendar or asset dates as necessary.
4. Missing Prorate Calendar Assignment:
 Error: Failing to assign the correct prorate calendar to assets when they are added or disposed of, resulting in incorrect
depreciation calculations.
 Solution: Ensure that the appropriate prorate calendar is assigned to each asset at the time of acquisition or retirement. This
can be done during the asset creation process.
5. Fiscal Year Misalignment:
 Error: Using a prorate calendar that does not align with the organization's fiscal year, causing depreciation to be prorated
incorrectly.
  Solution: Use prorate calendars that match the organization's fiscal year. Make sure the prorate calendar's periods align with
your fiscal periods.

Fixed Assets - Depreciation Methods

- Depreciate assets to decrease the value of an asset due to use.
- There are 5 types of methods in oracle.
1. Flat rate
2. Calculated
3. Production
4. Table
5. Formula

1. Flat rate
- In this method life of the asset depends on depreciation rate..
Formula:- Depreciation=Asset cost - Salvage value(Scrape Value) * Depreciation rate(yearly)
Rule for Scrape value:
1. Asset Cost=Accumulated depreciation + Salvage Value
2. Any difference in first point will be considered as Capital Gain or Capital Loss
3. Accumulated depreciation nothing but a Total depreciation of asset used period
4. Net Book Value {NBV\= Current Asset Cost - Accumulated depreciation

Step: - Create Flat Rate

N: Financials-»Fixed Assets-Manage Depreciation Methods
[+]
- Name = DM
- Depreciation = DM
- Reference Data Set = Common Set
- Method Type = Flat
- Calculation Basis = cost
> Depreciation Flat Rates
- Basic Rate = xxxx
- Adjustment Rate = xxxx
> Save and close

2. Calculated
- In this method depreciation rate will be depend on life of the asset.
Formula:- Depreciation =(Asset cost-Salvage value)/ Life of the asset

Step:- Create Calculated Method

N: Financials-Fixed Assets-Manage Depreciation Methods
> [+]
- Name = DM
- Depreciation = DM
- Reference Data Set = Common Set
- Method Type = Calculated
- Calculation Basis = cost
- Life in years = , Months =
> Save and close

3. Production
- In this method depreciation will depends on number of hour’s machine used.
Formula:- Depreciation=Asset cost - Scrap value/ Total production hours of asset *No. of hours asset used

Step:- Create Production Base Method

N: Financials-Fixed Assets-Manage Depreciation Methods
> [+]
- Name = DM
- Depreciation = DM
- Reference Data Set = Common Set
- Method Type = Production
- Calculation Basis = cost
> Depreciation Rates
> Save and close

4. Table
- It will be used when there is change in depreciation rate for each accounting period.
- The total life of each period depreciation rate must be equal to one

Step:- Create Table Base Method

N: Financials-Fixed Assets- Manage Depreciation Methods
> [+]
- Name = DM
- Depreciation = DM
- Reference Data Set = Common Set
- Method Type =Table
 - Calculation Basis = cost
- Life in years = , Months = / system will take +1 automatically /

> Save and close

5. Formula
- In this method depreciation rate will be determined using formula.

Step:- Create Formula Base Method

N: Setup-Financials-Fixed Asset-Manage Depreciation Methods
[+]
- Name = DM
- Depreciation = DM
- Reference Data Set = Common Set
- Method Type = Formula
- Calculation Basis = cost
> Depreciation Formula
[+]
> Test Formula
/ Fill the data/
> Calculate Depreciation Rate
> Ok
> Save and close

Fixed Assets - Run Depreciation

- It is nothing but a reducing the asset value as per the usage
- You can run depreciating for entire book level.
- You cannot run the depreciation for specific asset.
- There are two modes to run the depreciation
- Draft Mode - verify everything, go for final mode. In current period system will calculate depreciation. System won't close current period.
- Final Mode - Actual depreciation, close current period, open next period.

Step 1:- Run Depreciation

N-Fixed Assets- Assets-Depreciation
/ Click on Depreciation Info let /
/ Calculate Depreciation Button it take as Draft mode, select the CLOSE PERIOD take as final mode/
> Calculate Depreciation
- Shows DRAFT MODE –

Step 2:- Query assets to check result

N:-Fixed Assets-Asset Enquiry
/ Asset no check depreciation Applied /
/ select Asset no/
> Details
> Depreciation
/ It shows calculated depreciation /
/ It’s in DRAFT MODE /

NAV: Fixed Assets - Assets

> Calculate Depreciation
> Close period
/ You can't reverse that, close present one, pen next one. /
/ Create accounting for what are assets we created. /

Common Depreciation Errors:

1. No Eligible Assets for Depreciation:
 Impact: The depreciation process doesn't run, causing financial statements to lack accurate asset valuation.
 Solution: Review asset eligibility criteria, such as in-service dates, useful life, and depreciation methods. Ensure assets are
assigned to the correct category and depreciation book.
2. No Depreciation Calendar Assigned:
 Impact: Depreciation cannot be calculated without a valid depreciation calendar.
 Solution: Ensure each asset is assigned to a depreciation calendar with defined periods.
3. Invalid Depreciation Method:
 Impact: Depreciation calculations fail due to incorrect or missing depreciation methods.
 Solution: Verify that assets have appropriate depreciation methods assigned, and the methods are correctly configured.
4. Accounting Period Closed:
 Impact: Closed accounting periods prevent depreciation calculations.
 Solution: Ensure the accounting period is open. If necessary, reopen the period to perform depreciation.
5. Data Integrity Errors:
 Impact: Data discrepancies or inconsistencies hinder depreciation calculations.
 Solution: Investigate and correct data integrity issues within assets, categories, and books.
6. Custom Validation Rules Fail:
 Impact: Custom validation rules prevent the depreciation process.
 Solution: Review and update custom validation rules as needed, or ensure that asset data complies with these rules.
 7. Asset Not In Service:
 Impact: Assets must be in-service for depreciation, and errors arise if they are not marked as such.
 Solution: Set the in-service date for assets that are in service, ensuring the date is accurate.

Fixed Assets - Asset Book – Corporate Book – Tax Book -Mass Copy
- Ledger have a multiple Asset books, but asset books have only
One Ledger.
- Hold all asset information and are used to post journal entries for all accounting
activities to the relevant primary ledger as per policy.
- There are 2 types of asset books
1. Corporate book
2. Tax Book

1. Corporate book
- Hold all asset information and are used to post journal entries for all accounting
activities to the relevant primary ledger as per corporate policy
- We can't maintain assets without corporate book.
- Within the BU we create Invoices in assets not possible, BU concept not applicable
in FA. That’s why use CORPORATE BOOK.
- Asset belong to specific category, asset should be part of corporate book.
- Create and maintain the FA, we require corporate book. Also called depreciation book. Then only we calculate depreciation.
- What are assets creates those maintain in corporate book

Step1:- Crete Corporate Book

Amortized Changes:-It will determine whether difference amount will be considered as expense amount or depreciation amount when we
change depreciation rate or life of the asset in the middle of asset life.
N: Financials-Fixed Assets-Manage Asset books
[+] CORPORATE BOOK
- Name = CORPORATE BOOK
- Description = Corporate book
- Book Class = Corporate
- Ledger = Primary Ledger
- Depreciation Calendar = Depreciate
- Prorate Calendar = Prorate
- Current Period = Mar-22
- Divide Depreciation = Evenly
[-] Allow Ledger Posting / Transfer accounting entries to GL/
> Accounts
/ FILL ALL /
> Rules
> Reference Data Groups
/ Change REFERENCE DATA SET CODE to COMMON SET /
> Invoice Rules
> Select Book by clearing account Segment / This is link to AP to FA, you will find later at transfer AP to FA. /
> Save and Close

Step2:- Assign Roles to User

N:-Navigator-Tools>Security Console- Users
1. Asset Accountant
2. Asset Accounting Manager

Step3:- Assign Data Access to User

N: Setup: Financials-Users & Security-All Tasks-Manage Data Access for Users
> Security Context = Asset Book

2. Tax Book
- It is used to maintain the data as per tax reporting requirement.
- Asset data will be copied from corporate book to tax book using mass copy program
-We don't have a concept of opening periods in FA, at the time of corporate book current period, if you run depreciation close present one and
open new one.

Step1:- Create Tax Book

N: Financials-Fixed Assets-Manage Asset books-Create
[+] TAX BOOK
- Name = TAX BOOK
- Description = Tax book
- Book Class = TAX
- Associate Corporate Bok = CORPORATE BOOK /your corporate
book /
- Ledger = Primary Ledger
- Depreciation Calendar = Depreciate
- Prorate Calendar = prorate
- Current Period = Mar-22
- Divide Depreciation = Evenly
[-] Allow Ledger Posting
[-] Allow Leased Assets
 > Accounts
/ FILL ALL /
> Rules
/ Change REFERENCE DATA SET CODE to COMMON SET /
> Tax
[-] Allow CIP Assets
[-] Allow mass copy
> Save and close

Step2:- Assign Data Access for Users

N: Financials-Users & Security-All Tasks-Manage Data Access for Users
- Security Context = Asset Book
= Security Context value = Corporate book
> Save and close

Step3:- Assign tax book to asset categories

N: Setup: Financials-Fixed Assets-Manage Asset Category
/ select MAJOR CATEGORY and EDIT, Select Book [+] (TAX BOOK) /
[+]
- Book = TAX BOOK
> Accounts (tab)
- Asset Cost = xxxx
- Asset Clearing = xxxx
- Depreciation Expense = xxxx
- Depreciation Reserve = xxxx
- Bonus Depreciation Expense = xxxx
- Bonus Depreciation Reverse = xxxx
> Default Rules
[+]
[-] Depreciateion
- Depreciation Method = xxxx
- Prorate Convention = Porate_Convention
> Save and close

Step 4:- Run mass copy

• It is used to maintain the data as per tax reporting requirement.
• Asset data will be copied from corporate book to tax book using mass copy program
• We don't have a concept of opening periods in FA, at the time of corporate book current period, if you run depreciation close present one and
open new one.
• Following roles are required to be assigned for users to provide access to the asset books.
1. Asset Accountant
2. Asset Accounting Manager
• We have all assets in corporate book. We can calculate depreciation with specific method.
• Same assets calculate depreciation with different method.
• Keeping in single book can't possible to calculate to different depreciation. For that we create another book as IT act.
• We can’t create as stets in TAX BOOK, we copy from corporate book.
1. Initial copy - Irrespective of periods copy from CORP to TAX
2. Periodic - At a time copy from CORP to Tax every month
• At implantation follow INITIAL, later PERIODIC
• You can do periodic mass copy using periodic mass copy
N-Fixed Assets-Assets-Tasks-General-Manage All Books
> Asset Book Monitor
/ Select TAX BOOK /
/ Click COPY FROM CORPORATE /
- Corporate book period = xxxx
> Submit
> Done

Step5:- Check Assets in Tax Book

N-Fixed Assets- Asset Enquiry
/ Search with BOOK, CATEGORY /
/ Change BOOK, ASSETS reflect at Now /

NAV: Tools - Scheduled Process

> RUN "PERFORM INITIAL MASS COPY"
/ Its copies assets from a corporate book to the open period in a tax book /
- Tax Book = TAX BOOK
> submit

1. Error: Invalid Asset Information:

 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Review the error messages in the FA_MASSADDITIONS_ERRORS table to identify issues with asset data. Verify that
asset information, such as asset category, location, and depreciation details, is accurate and valid. Correct any discrepancies
and resubmit the Mass Copy.
2. Error: Incomplete Asset Data:
  Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Check the error messages in the FA_MASSADDITIONS_ERRORS table to find incomplete fields. Complete the
missing information for assets in your Mass Copy and resubmit.
3. Error: Duplicate Asset Entries:
 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Ensure that you are not copying assets with the same asset number. Each asset should have a unique identifier.
Correct any duplicate asset numbers and resubmit the Mass Copy.
4. Error: Invalid Tax Book Setup:
 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Verify that the target tax book is set up correctly, including tax rules, depreciation methods, and depreciation limits.
Correct any issues with the tax book setup and retry the Mass Copy.
5. Error: Insufficient Data Mapping:
 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Review the error messages in the FA_MASSADDITIONS_ERRORS table to identify mapping issues. Verify that the
columns in your data file match the mapping defined in Oracle Fusion. Correct the mapping discrepancies and resubmit.
6. Error: Invalid Depreciation Method:
 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Check if the specified depreciation method is valid for the tax book. Ensure that the method exists in the system and is
compatible with the asset category. Correct the method or update the asset category and retry the Mass Copy.
7. Error: Data Conversion Issues:
 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: Verify that data formats, such as dates and currency codes, are consistent with the requirements of the tax book.
Correct any data conversion issues and resubmit the Mass Copy.
8. Error: Concurrent Requests:
 Error Table: FA_MASSADDITIONS_ERRORS
 Base Table: FA_MASS_ADDITIONS
 Solution: If another concurrent request is running, wait for it to complete or terminate it if necessary before starting a new Mass
Copy operation.

Fixed Assets - Asset Category

- Asset categories group assets that share financial accounts and depreciate rules.
- Every asset create in category, that should belong to corporate book
- By using category flex field we create values, by combing major and minor values we have to create ASSET category.

Step:- Create Asset Category

N:-Setup: Financials-Fixed Assets-Manage Asset Category
[+]
- Major Category = Major
- Minor Category = Minor
- Category Type = Non Lease
- Ownership = Owned
[-] Capitalized / Construction = CIP, Using = Capitalize. Only capitalized asset calculate depreciation/
>Books
> [+]
- Book = CORPOTRATE BOOK / system allow us to create in corporate category/
> Accounts (tab)
- Asset Cost = xxxx
- Asset Clearing = xxxx / It will create link between AP and FA/
- Depreciation Expense = xxxx
- Depreciation Reserve = xxxx
/ - CIP Cost = xxxx
/ - CIP Clearing = xxxx /
/ CIP cost and Clearing will effect in CIP ASSET & CAPITILZE /
- Bonus Depreciation Expense = xxxx
- Bonus Depreciation Reverse = xxxx
> Default Rules
[+]
- Depreciation Method = xxxx
/total asset value by no of periods/
- Prorate Convention = Porate_Convention
> Save and close

Fixed Assets - Addition

• Asset additions is the process of recording an asset that has been acquired in Oracle Fusion Assets
• Asset contains 4 levels of details
1. Transaction Details
 2. Descriptive Details - Allows organizations to capture and store additional custom data beyond the standard fields provided by the
application.
3. Financial Details or Book
4. Assignment Details
• There are 4 types of assets.
1. Capitalized Asset
2. CIP Asset
3. Expensed asset
4. Group Asset
• Assets can be created 2 ways
1. Manual Addition
2. Mass Addition
1. Manual Addition
• Adding Assets manually in the Oracle Fusion Assets called a Manual Addition
• It can be done in 2 ways
A. Add Assets Page
B. Spreadsheet

A. Add Assets Page

• Add Assets page is used to enter a single asset

Step 1:- Create Asset

N: Navigator-Fixed Assets-Assets-Tasks-Transactions-Add Asset
- Book = Coporate_Book
- Asset Type = Capitalized
- Category
Major = Vehicle
Minot = Truck
> Ok
- Description = Vehicle
- Cost = 10000
- Unit = 1
- Expense Account = Fill
- Location = fill / Location KFF/
> Submit/ Next
/ If you click submit, its quick addition. Still add some additional detail click next. That is detailed addition. /
/ If you don't need provide asset number, system will control /
> Descriptive Details
- Asset Key = xxxx
/In system control we provide Key, by following it allocate to asset /
/ Category and location mandatory /
> Assignments
- Units = xx
- Depreciation Expense Account = xxxx
- Location = xxxx
> Submit
/ Based on this information system allocate ASSET NO /

Step 2:- Check Asset

N: Fixed Assets-Asset Enquiry
/ You can find asset with ASSET KEY /

B. Spreadsheet/ ADFDI
Step 1:- Create Asset in Spreadsheet
N: Navigator-Fixed Assets-Asset-Tasks-Transactions-Add Assets in Spreadsheet
- Book = Corporate Books
- Asset Type = Capitalized
> Go
/ Spreadsheet downloaded, fill data/
/ Click 'submit' in Ribbon /
/ CHECK /
/ New asset will show in assets, it's 'NOT POSTED'/
/ Select "ASSET NUMBER" /
> Actions
> Edit Source
- Queue = Post / change NEW to POST/
/ New = not posted
Post = posted /
/ Directly system create ASSET based on information. /
> Save and close
/Select "Ready to post". Its enable POST ALL /
/ Select 'Asset' /
> Post ALL
/ It means convert record as ASSET /
Step 2:- Check Asset
N: Fixed Assets- Asset Enquiry
/ You can find asset with ASSET KEY /

2. Mass Addition
Add multiple assets automatically from an external source. Create assets from one or more invoice distribution lines in Oracle Fusion Payables,
construction in-process (CIP) asset lines in Oracle Fusion Projects, asset information from another assets system, or information from any
other feeder system using the interface. You must prepare the mass additions to become assets before you post them to Assets

Conditions

• Crete assets in AP transfer to FA.

• We Create FA based on AP invoice, Accounting entry is mandatory for invoice. If not, that information can't transfer to FA.
• Before check periods open or not in AP.

Step 1:- Enter AP invoice, Account & Transfer to GL

N:-Payables- Invoice-Tasks-Invoice-Create invoice
- Business Unit = xxxx
- Supplier = Supplier
- Supplier Site = Villa
- Number =5555
- Amount = USD 10000
- Type = Standard
- Date = xxxx
- Payment Terms = Immediate
- Terms Date = xxxx
> Lines
- Number = 1
- Type = item
- Amount = 10000000
> Save
>Invoice Actions
> Validate
/ don't use distribution set for FA, and this allow us to transfer to FA/.
/ add Distribution Combination for FA ASSET CLEARING ACCOUNT add /
/ Line account must be “ASSET CLEARING" account, if not, it won't be transfer to FA /
/ Make sure to post in GL /
• Creating Accounting, then only transfer to FA.
> Invoice Actions
> Post to Ledger
> OK
> Save and Close

Step 2:- Run mass additions create process

(Transfer Asset lines from AP to FA)
N:-Payables-Invoices-Tasks-Asset-Create Mass addition
- Accounting Date =
- Asset Book = Corporate_Book
- Submit
 Step 3:- Prepare & Post mass additions
N:-Fixed assets-Assets-Tasks-Transactions-Prepare Source Lines
/ Search for source lines, select and PREPARE ALL
- If you want add to existing Select ADD TO ASSET
- If you want merge two invoices select MERGE /
/ Use spreadsheet for prepare all /
(OR)
/ Invoice /
> Actions
> Edit
- Queue = Post
- Description = Vehicle
- Cost = 10000000
- Catogory = Building
> Assignments
- Location = fill
> Save and close

Step 4:- Query Asset to check results

N: Fixed Assets-Asset Enquiry
> Source Lines

1. Error: Duplicate Asset Number:

 Table Name: FA_ADDITIONS_B
 Solution: Check for duplicate asset numbers in the FA_ADDITIONS_B table and ensure that asset numbers are unique. You
can use a query like this to identify duplicates:
2. Error: Incorrect Asset Mass Additions:
 Table Name: FA_MASS_ADDITIONS
 Solution: Validate the data in the FA_MASS_ADDITIONS table, ensuring that columns like ASSET_CATEGORY_ID,
LOCATION_ID, and COST are correctly populated. Use SQL to review the data:
3. Error: Asset Retirement Error:
 Table Name: FA_RETIREMENTS
 Solution: Check the FA_RETIREMENTS table to verify the retirement details, accounts, and other information associated with
the retirement transaction. You can query the table for more details:
4. Error: Asset Transfer Issue:
 Table Name: FA_ASSET_HISTORY
 Solution: Review the FA_ASSET_HISTORY table to ensure all necessary information for asset transfer, like the new location
and department, is correctly recorded. Use SQL to examine the transfer history:
5. Error: Asset Revaluation Issue:
 Table Name: FA_REVALUATIONS
 Solution: Verify revaluation transactions in the FA_REVALUATIONS table. Ensure that the revaluation method aligns with
your organization's policy:
6. Error: Data Conversion and Migration Errors:
 Tables may vary depending on the data being migrated. Common tables include FA_MASS_ADDITIONS, FA_BOOKS, and
FA_ADDITIONS_B.
 Solution: Use SQL to check the integrity of data during migration and identify issues. Customized queries will be required based
on your specific migration process and data.

Fixed Assets - Construction-In-Process (CIP)

• A construction-in-process (CIP) asset is an asset you construct over a period of time. Since a CIP asset is not yet in use, it does not depreciate
and is only in the corporate book.
• The asset key is a set of key identifying information, such as project name and project number, that you define for each CIP asset. Use the
asset key to group and track your CIP assets with common key words so you can find them easily for inquiry or transactions.
• Assets which are in construction is called a CIP Asset
• First create CIP asset later convert to CIP Capitalization.
• You need to create CIP account to create.

Manage Asset Category

[+] or Add to existing one by selecting Corporate Book
> Accounting Rules
> Accounts
-> CIP cost = xxxx
-> CIP Clearing = xxxx
> Save and close
/ Accounting purpose need COST and CLEARING/

Step 1:- Create CIP Asset

N:-Fixed Assets-Assets-Tasks-Transactions-Add Asset
- Book = Coporate_Book
- Asset Type = CIP
/ Under construction you can't finalize COST /
- Category
Major = xxxx
Minot = xxxx
> Ok
 - Description = Vehicle
/ COST it’s in construction not possible to add cost/
- Unit = 1
- Expense Account = Fill
- Location = fill
> Next
/ Next [Add More Details otherwise SUBMIT] /
///> Financial Details
> Source Line
> [+]
- Loan Amount = 1500000 ////
> Submit
/ System create CIP Asset/
/ After complete construction, convert to capitalize /
Step 2:- Capitalize the CIP asset
• You capitalize CIP assets when you are ready to place them in service. You can capitalize or reverse capitalize a single asset or a group of
assets.
• When you capitalize an asset, Oracle Assets changes the asset type from CIP to Capitalized, changes the date placed in service to the date you
enter, sets the cost to the sum of all source lines for the asset, and re-defaults the depreciation rules from the asset category. Oracle Assets
creates an Addition transaction for an asset you added in a prior period or changes the CIP Addition transaction to an Addition for an
asset you added in the current period.
• When you reverse a capitalization, Oracle Assets changes the asset type from Capitalized back to CIP and leaves the date placed in service
unchanged. It changes the Addition transaction to an Addition/Void for an asset you added in a prior period or changes the Addition
transaction to a CIP Addition for an asset you added in the current period. It also creates a CIP Reverse transaction for assets you
capitalized in a prior period.
N-Fixed Assets-Assets-Tasks-Transactions-Capitalize CIP Asset
/ Search CATEGORY/
/ Select Asset Number/
> Click CAPITALIZE
- Date Placed in service = xxxx
> Ok
> Done

Step 3:- Query asset to enter details

N: Fixed Assets- Assets- Tasks-Transactions- Adjust Assets
/ select asset number /
/ Click CHANGE FINANCIAL DETAILS/
> Financials Details
> General
- Cost = 1000000
> Submit

1. Where to use it: Oracle Fusion Fixed Assets is used in finance and accounting departments of organizations to manage tangible and
intangible assets. CIP assets are specifically used to account for costs associated with assets under construction. They are part of the
larger fixed asset management framework within the application.
2. Why to use it: CIP assets are used to accurately account for and track costs incurred during the construction phase of assets that are not
yet in service. This is important for:
 Financial Accuracy: To ensure that construction costs are accurately recorded in financial statements.
 Compliance: To adhere to accounting standards and regulatory requirements.
 Asset Lifecycle Management: To track asset development from the construction phase until they are ready for use.
3. Whom can access: Access to CIP assets and Oracle Fusion Fixed Assets is typically restricted to users with appropriate roles and
permissions, such as accountants, financial analysts, project managers, and asset managers. Access control is implemented using role-
based security.
4. What is CIP Asset: In the context of Oracle Fusion Fixed Assets, a CIP asset represents the costs associated with assets that are under
construction. It's an accounting category that allows organizations to track and capitalize construction costs until the assets are completed
and placed into service. CIP assets are not depreciated until they are ready for use.
5. When do it need: CIP assets are needed when an organization has assets under construction. You use CIP assets when you want to:
 Accurately account for and track costs incurred during the construction phase.
 Capitalize construction costs and avoid premature depreciation.
 Maintain compliance with accounting standards and regulatory requirements.
6. How it works:
 Creation: Users create CIP asset records in Oracle Fusion Fixed Assets to represent assets under construction.
 Cost Tracking: Costs incurred during the construction phase are associated with CIP assets. These costs can include materials,
labour, equipment, and other expenses.
 Capitalization: The system ensures that these costs are capitalized and not depreciated until the assets are ready for use.
 Conversion: When the construction is complete, CIP assets are typically converted to active assets, and depreciation begins.

1. Missing or Incomplete Invoices:

Problem: Sometimes, invoices may be missing or incomplete, making it challenging to associate costs with CIP assets.
Solution: Work with the procurement or accounts payable team to ensure that invoices are complete and available. Only associate
invoices with CIP assets when you have all the required details.
2. Approval Delays:
Problem: Delays in the approval process can hinder the progression of CIP assets to the capitalization stage.
Solution: Communicate with relevant stakeholders to expedite the approval process. Implement workflow automation or notifications to
streamline approvals.
 3. Data Security and Permissions:
Problem: Insufficient permissions can limit your ability to create, modify, or associate CIP assets and invoices.
Solution: Consult your system administrator to ensure that you have the necessary permissions to perform the required tasks. If additional
access is needed, request appropriate permissions.
4. Configuration Issues:
Problem: If Oracle Fusion is not properly configured for your organization's specific needs, it can lead to inconsistencies and errors.
Solution: Work closely with your organization's Oracle Fusion administrators and consultants to configure the system correctly. This may
involve setting up asset categories, depreciation methods, and other parameters to align with your business processes.

Fixed Assets - Asset Transfers

- Transfer refers changes in the assignment information.
- Assignment window contains 3 types of details.
1. Employee.
2. Location.
3. Expense accounts
- It can be done in 2 ways.
1. Single Asset Transfer.
2. Mass Transfer

1. Single Asset Transfer

- Changing assignment information for one asset in a single transaction is called a single asset transfer.

Step1:- Query asset to change assignment details

N:-Fixed Assets-Assets Tasks-Transactions-Transfer asset
/ search ASSET NUMBER /
> Basic
/ select asset and click TRANSFER ASSET /
> Assignment Details
- New units = 0/1 / 0 = remove, 1 = add /
- Employee name = xxxx
- Employee Number = xxxx
- Location = xxxx
> Submit

Step2:- Query asset to check result

N:-Fixed-Assets-Asset Enquiry
/ Asset number /
> Details
> Assignment (tab)
/ New details updated /

2. Mass Transfer
- Changing assignment information for group of assets in one transaction is called a mass transfer.

Step 1:- Create Mass Transfer Transaction

N:-Fixed Assets-Assets -Tasks-Transactions-Transfer asset
> Mass (tab)
[+]
- Book = xxxx
> Ok
- Transaction Group = Mass Transaction
> Asset Selection Criteria
> General
/ select CATEGORY fill date /
> Transfer Details
/ select CATEGORY, fill date /
> Submit

Step 2:- Post Mass Transfer Transaction

N-Fixed Assets-Assets-Tasks-Transactions- Transfer asset
/ Search with DETAILS, select /
Click on PREPARE, Spreadsheet download, fill data and submit.
- Posting Status = Post
> Submit

Step 3:- Query assets to check result

N-Fixed Assets-Asset Enquiry
/ Asset number /
> Details
> Financial (tab)
/ New details updated /

Fixed Assets - Asset Change

- Changing Financial information of Asset is called Asset Changes
- Financials region contains following things
 1. Asset cost
2. Salvage value
3. Prorate convention
4. Depreciation method
5. Life
6. Rate
7. Bonus rule
8. Depreciation ceiling
- It can be done in two ways.
1. Single Asset Change
2. Mass Changes

1. Single Asset Change

Changing financial details for one asset in single transaction is called a single asset change.

Step1:- Change Financial details for Asset

N:-Fixed Assets-Assets-Tasks-Transactions- Adjust asset
> Basic
/ Search Asset /
> Financial Details
> General
/ Change any listing 8 /
> Submit

Step 2:- Query asset to check result

N-Fixed Assets-Asset Enquiry
/ Asset number /
> Details
> Financial (tab)
/ New details updated

2. Mass Changes
- Changing Financial details for group of assets in a single transaction is called a mass changes.
/ Depreciation change from FLAT to CALCULATE like /

Step1:- Create Mass change transaction

N:-Fixed Assets-Assets-Tasks-Transactions-Adjust assets
[+]
- Book = xxxx
- Transaction Type = Cost and rule change
> Ok
- Transaction Group = Mass Changes
> Asset selection Criteria
> General
/ Select CATEGORY fill data /
> Depreciation rules Details
- Life in years = xxxx
- Life in Month = xxxx
> Save
> Submit

Step2:- Post Mass change transaction

N: Fixed Assets-»Assets- Tasks- Transactions- Adjust assets
> Mass (tab)
/ Search with DETAILS, select /
Click on PREPARE, Spreadsheet download, fill data and submit.
- Posting Status = Post
> Submit

Step3:- Query assets to check result

N: Fixed - Asset Enquiry
/ Asset number /
> Details
> Financial (tab)
/ New details updated /

Fixed Assets - Reclassification

• Changing asset category information for asset is called a reclassification.
• Change one CATEGORY to Another CATEGORY
• It can be done in two ways.
1. Single Asset Reclassification.
2. Mass Reclassification
/ MANAGE ASSET CATEGORY Must be declared in one of the category/
1. Single Asset Reclassification
Changing category information for one asset in single transaction is called a single asset reclassification.

Step 1:- Change Category for Asset

N:-Fixed Assets-Assets-Tasks-Transactions-Adjust assets
> Basic
/ Search and select Asset No /
> Change Categories
> Change Details
> New Category
Major = xxxx
Minor = xxxx
> Ok
> Submit
> Done

Step 2:- Query asset to check result

N-Fixed Assets-Asset Enquiry
/ Asset number /
Category changed.

2. Mass Reclassification
Changing asset category for group of assets in a single transaction is called a mass reclassification.

Step 1:- Create Mass Reclassification Transaction

N:-Fixed Assets-Assets-Tasks-Transactions- Adjust asset
> Mass
[+]
- Book = xxxx
- Transaction Type = Category Change
> Ok
- Transaction Group = Mass Reclassification
> Asset selection Criteria
> General
/ Select CATEGORY fill data /
> Category Details
/ Fill CATEGORY FILTERS /
[-] Inherit depreciation rules of new category
> Save
> Submit

Step 2:- Post Mass Reclassification Transaction

.N:-Fixed Assets-Assets>Tasks-Transactions-Adjust asset
> Mass (tab)
/ Search with DETAILS, select /
Click on PREPARE, Spreadsheet download, fill data and submit.
- Posting Status = Post
> Submit

Step 3:- Query assets to check result

N-Fixed Assets-Asset Enquiry
/ Asset number /
CATEGORY changed.

Effects of Reclassification:

1. Category and Location Change: Reclassification allows you to change an asset's category, location, or other attributes, ensuring that
asset records align with the new information.
2. Depreciation Adjustment: Reclassification may impact depreciation calculations, including changes in depreciation methods, rates, and
useful life.
3. Accounting Entries: Changes in categories or locations can trigger accounting entries to reflect the reclassification in financial
statements and reports.
4. Compliance and Audit Trail: Maintains compliance with accounting standards and internal policies, and an audit trail tracks who made
the reclassification and when.

Common Errors and Solutions:

1. Error: Incorrect Asset Category or Location:

 Solution: Verify that the reclassification details are accurate, and the new category or location aligns with the asset's use.
Review the reclassification transaction to ensure correct data entry.
2. Error: Depreciation Errors:
 Solution: Check the asset's depreciation method, rate, and useful life after reclassification. Ensure they align with the new
category. Correct any discrepancies to ensure accurate depreciation calculations.
3. Error: Missing Accounting Entries:
  Solution: If the reclassification did not trigger accounting entries, check your accounting rules and setup. Review the
reclassification transaction to ensure proper accounting entries are generated.
4. Error: Tax Implications Not Considered:
 Solution: Before reclassifying assets, consult with your tax experts to assess any tax implications. Ensure that the
reclassification complies with tax regulations and accounting standards.
5. Error: Incomplete or Incorrect Data Entry:
 Solution: Double-check the details entered during reclassification. Ensure all relevant fields are accurately populated to avoid
data entry errors.
6. Error: Workflow and Approval Issues:
 Solution: If reclassification requires approvals, ensure that the workflow is correctly configured and that the necessary
approvals are obtained.
7. Error: Documentation and User Training:
 Solution: Update asset documentation and provide user training to inform stakeholders about the reclassification and the
changes in asset records.
8. Error: Data Integrity Issues:
 Solution: If you encounter data integrity problems during reclassification, consider data validation and cleansing processes
before initiating the reclassification.
9. Error: Historical Data Mismatch:
 Solution: When reclassifying historical assets, verify that historical accounting records are accurately represented in the
reclassified data.
10. Error: Incomplete Audit Trail:
 Solution: Ensure that the system is configured to maintain a complete audit trail of reclassification transactions for
transparency and compliance.

Fixed Assets - Retirement

- Removing asset form services is called a retirement.

Full retirement • Retire all units of a multiple-unit asset. • Full cost retirements: allowed for CIP assets.
• Retire the entire asset cost • Full unit retirements: not allowed for CIP assets.

Partial retirement • Retire a specified number of units of a multiple- • Partial cost retirements: units remain unchanged and the
unit asset. retirement process spreads the retired cost evenly among all
• Retire a portion of the asset cost. assignment lines.
• Partial unit retirements: The retirement process
automatically calculates the retired cost.
• Partial retirements of CIP assets: not allowed.

- There are three retirement types

1. Unit retirement: Retire assets by unit, either all units or some units of a multiple-unit asset. The retirement process automatically
calculates the cost retired for each unit retired.
2. Cost retirement: Retire assets by cost. The units remain unchanged and the retirement process spreads the retired cost evenly among
the units.
3. Source line retirement: Retire an asset that was imported as a source line by retiring the asset cost based on the source line.

- It can be done in 2 ways.

1. Single Asset Retirement
2. Mass Retirement

1. Single Asset Retirement

Removing one asset from service in single transaction is called a single asset retirement.

Step 1:- Retire Asset

N: Fixed Assets-Assets - >Tasks-Transactions - Retire Asset
> Basic (tab)
/ Asset Number /
Select RETIRE COST or RETIRE UNITS any one
> Assignment Details
- Retired Units = 1
> Save
> Submit

Step 2:-Check Retirement result

N-Fixed Assets-Asset Enquiry
/ ASSET NUMBER /
> Details

2. Mass Retirement
- Removing group of assets from services in single transaction is called a mass retirement.
Step 1:- Create Mass Retirement Transactions
N:-Fixed Assets-Assets-Tasks-Transactions - Retire Asset - Mass - Create
> Mass
[+]
- Book = xxxx
- Transaction Type = Retirement
 > Ok
- Transaction Group = Mass Retirement
> Asset selection Criteria
> General
/ Select CATEGORY fill data /
> Retirement Details
/ fill reasons/
> Save
> Submit

Step 2:- Post Mass Retirement Transactions

N:-Fixed Assets-Assets-Tasks-Transactions-Retire Asset-Mass
> Mass (tab)
/ Search with DETAILS, select /
Click on PREPARE, Spreadsheet download, fill data and submit.
- Posting Status = Post
> Submit

Step 3:- Query assets to check result

N-Fixed Assets-Asset Enquiry
/ Asset number /

Fixed Assets - Reinstate

- Reinstatements are reversals of retirements, which correct retirement errors by undoing the retirement of an asset and reinstating it.
- It can be done in 2 ways.
1. Single Asset Reinstate
2. Mass Reinstate
1. Single Asset Reinstate
Reinstating one asset in single transaction is called a single asset reinstate

Step1:- Reinstate Asset

N: Navigator-Fixed Assets-Assets -Tasks-Transactions-Reinstate Asset
/ search by Book name /
/ Click REINSTATE /
> Yes
> Done

Step2: Check Reinstate result

N-Fixed Assets-Asset Enquiry
/ Asset number /

2. Mass Reinstate
Reinstating group of assets in single transaction is called a mass reinstate.

Step1:- Create Mass Reinstate Transactions

N-Fixed Assets-Assets-Tasks-Transactions-Retire Asset-Mass -Create
> Mass
[+]
- Book = xxxx
- Transaction Type = Reinstate
> Ok
- Transaction Group = Mass Reinstate
> Asset selection Criteria
> General
/ Select CATEGORY fill data /
> Save
> Submit

Step2:- Post Mass Reinstate Transactions

N: Fixed Assets-›Asset - Tasks-›Transactions-Retire Asset-›Mass
> Mass (tab)
/ Search with DETAILS, select /
Click on PREPARE, Spreadsheet download, fill data and submit.
- Posting Status = Post
> Submit
Step 3:- Query assets to check result
N-Fixed Assets-Asset Enquiry

Common Errors and Solutions

Retirement Errors - Retirement date earlier than last depreciation - Ensure the retirement date is valid.
date.
- Incorrect retirement method or reason - Choose the correct retirement method and reason.
selected.
 - Transaction-related errors. - Resolve any issues in the transaction data before submission.
Reinstatement - Lack of user permissions for reinstatement. - Confirm that users have the required permissions.
Errors
- Asset not marked as retired. - Ensure the asset is marked as retired before attempting
reinstatement.
- Incorrect reinstatement method or date. - Select the proper reinstatement method and ensure the date is
accurate.
- Inaccurate or missing information. - Enter all necessary information correctly, including reinstatement
cost.
- Transaction-related errors. - Resolve any issues in the transaction data before submission.

Fixed Assets - Transfer to GL

Step 1:- Run Create Accounting Program
N:-Fixed Assets-Assets-Task-Accounting-Create Accounting
/ Its triggers CREATE ACCOUNTING SUBPROCESS /
> Basic Options
- Book = Corporate book
> Submit

Step 2:- Check Journals in GL–>Task–>Manage Journals

N:-Navigator-General Accounting-Journals
/ search for journal’s, /

Fixed Assets - Journal

N: - Fixed Assets-Asset Enquiry-Asset-Search
> Details
> Transactions
/ You can find transaction related to This ASSET /
- Whenever you run FINAL MODE depreciation, that process initial closing current period and open next Period. Separately no need to do
anything.

Fixed Assets - Merge Assets/ Split Assets

1. Merge Asset Lines
• Merge Invoice multiple lines and make single assets. If not merge those lines, system create multiple assets.

Step 1:- Create Asset invoice in AP

Merging Fixed Assets:
N:- Payables - Invoices - Task - Create Invoice 1. Usage:
-> Business Unit = xxxx
-> Supplier = Supplier  Consolidation: When an organization acquires
-> Supplier Site = Villa another company or merges with another entity,
-> Number =5555 there may be a need to consolidate fixed assets.
-> Amount = USD 10000 Merging assets allows for the combination of two
-> Type = Standard or more similar assets into a single record to
-> Date = xxxx simplify tracking and reporting.
-> Payment Terms = Immediate  Asset Reorganization: Merging assets can be
-> Terms Date = xxxx useful when there is a need to reorganize the asset
> Lines structure within an organization, reducing
- Number = 1 redundancy, and improving efficiency.
- Type = item  Asset Replacement: In some cases, two older assets
- Amount = 100000 may be merged to represent a single, newer asset to
- Number = 2 better reflect the actual value and condition.
- Type = item
- Amount = 250000 2. Common Problems and Solutions:
> Save  Data Accuracy: Merging assets can lead to data
>Invoice Actions accuracy issues, such as discrepancies in historical
> Validate depreciation or valuation. Ensure that you have
complete and accurate data for the assets being
Step 2:- Create Accounting merged.
> Invoice Actions  Tax and Regulatory Compliance: Merging assets
> Validate can have tax and regulatory implications. Consult
> Post to Ledger with tax and legal experts to ensure compliance
> OK with laws and regulations.
> Save and Close  Historical Records: Preserve historical records of
merged assets to maintain an audit trail. Many
Step 3:- Create Mass Addition (transfer Asset lines from AP to FA) asset management systems offer an "asset history"
N:- Payables - Invoices - Task - Create Mass Addition feature for this purpose.
-> Accounting Date = xxxx
-> Asset Book = Corporate_Book
> Submit

Step 4:- Prepare Mass Addition

N:- Fixed Assets - Assets
/ Now select one line and click MERGE /
/ selected line as Parent/
/ Select another line click MERGE and SUBMIT/
> Actions
> Edit
/ Now you can find two lines /
-> Queue = Post / On Hold to Post/
-> Description = Vehicle
-> Cost = 350000
> Assignments
-> Location = fill
> Save and close

Step 5:- Post Merge Additions

/ Select READY TO POST /
/ select INVOICE /
-> POST ALL

Fixed Assets (Enquiry)

N:- Fixed Assets - Assets Inquiry
/ Search with Asset no or category /
> Source Lines
/ Find Mass addition invoice /
* Lines should be within the invoice only, across invoice not possible.

2. Split Asset Lines

Transfer single line invoice to FA, split into multiple assets.

Step 1:- Create Asset invoice in AP

N:- Payables - Invoices - Task - Create Invoice
Splitting Fixed Assets:
-> Business Unit = xxxx
1. Usage:
-> Supplier = Supplier
-> Supplier Site = Villa  Divestiture: When an organization divests a portion of its
-> Number =5555 business or assets, assets may need to be split to reflect the
-> Amount = USD 500000 separation. This is essential for accurate financial reporting
-> Type = Standard and compliance.
-> Date = xxxx  Partial Disposal: If a single asset is partially sold, leased,
-> Payment Terms = Immediate or otherwise disposed of, it may need to be split into
-> Terms Date = xxxx multiple assets to reflect its new status and value.
> Lines  Reclassification: Assets may need to be split to properly
- Number = 1 reclassify components, such as land and buildings, which
- Type = item were initially treated as a single asset.
- Amount = 500000
> Save 2. Common Problems and Solutions:
>Invoice Actions  Data Integrity: Data integrity is crucial when splitting
> Validate assets. Verify all data associated with the asset being split,
including cost, depreciation, and other attributes.
Step 2:- Create Accounting  Depreciation Adjustments: Splitting assets may necessitate
> Invoice Actions adjustments to the depreciation schedules of the new assets.
> Validate Calculate and update depreciation accordingly.
> Post to Ledger  Documentation: Ensure that you document the split
> OK
properly, including the reasons for the split, and maintain
> Save and Close
detailed records for auditing purposes.
Step 3:- Create Mass Addition (transfer Asset lines from AP to FA)
N:- Payables - Invoices - Task - Create Mass Addition
-> Accounting Date =
-> Asset Book = Corporate_Book
-> Submit

Step 4:- Prepare Mass Addition

N:- Fixed Assets - Assets
> Actions
> Edit
-> Queue = Post
-> Description = Vehicle
-> Cost = 500000
> Assignments
-> Units = 5
/ How many assets you want to split from invoice /
-> Location = fill
> Save and close

Step 5:- Post-Split Additions

/ select INVOICE /
/ Click SPLIT/
/ Select All INVOICE/
 / Select READY TO POST /
/ select INVOICE /
-> POST ALL

Fixed Assets (Enquiry)

N:- Fixed Assets - Assets Inquiry
/ Search with Asset no or category /
> Source Lines
/ Find Mass addition invoice /

Fixed Assets - What-If Analysis

- If the changing any parameter to asset, how the depreciation is impact.
- When running what-if depreciation analysis, remember the following points:
 Depreciation projections are only estimates of actual depreciation expense.
 After running what-if depreciation analysis, take note of the process ID and then run the What-if Depreciation Analysis Report to view
your results.
 You can run what-if depreciation analysis for as many scenarios as you like. Each time you run what-if depreciation analysis, Assets
launches a separate report. The results of an analysis will not overwrite the results of previous analyses.
 You can project depreciation expense for any depreciation book and for any number of periods beginning from the starting period you
enter as a parameter.
- You can forecast depreciation for either:
 Existing assets: When you run what-if depreciation analysis for existing assets, the application automatically launches the Prepare
What-if Depreciation Analysis process.
 Hypothetical assets: When you run what-if depreciation analysis for hypothetical assets, the application automatically launches the
Prepare Hypothetical Depreciation Analysis process.

N: - Fixed Assets - Asset - Perform What-if Analysis

- Book = Corporate Book
- Starting Period = xxxx
- Number of Periods = 4
> Asset Selection
> Assets to Analysis
- From Asset Number = xxx
- To Asset Number = xxx
> Depreciation Scenario
- Depreciation Method = xxx
- Life in Years = xx
- Life in Months = xx
> Submit
/ Note Id /

N: - Tools - Scheduled Processes

RUN “WHAT IF DEPRECIATION ANALYSIS REPORT”
> Ok
> Basic Options
- Book = Corporate Book
- Process Id = xxxx
- From Period = xxxx
- To Period = xxxx
- Delete Analysis Data = No
> Submit
/ click on document or republish, system won’t change anything. /

Fixed Assets - Rollback Depreciation

- Rollback we can undo depreciation in DRAFT MODE only, final mode not possible
- We can do undo depreciating if do any changes against the asset system revert is ROLL BACK.
- If we any changes in asset. Already calculated depreciating that system will undo.

N: - Fixed Assets - Assets - Task - Adjust Asset

/ Search with category, select asset no, and click CHANGE FINACIAL DETAILS /
> Change Financial Details
> Financial details
> General
- Depreciation Methods = xxxxx
- Life in years = xxxxx
> Submit
> Done