Base Data
The Fixed Assets module requires base data set up in other modules. The base data includes the following:
• Entities
• GL daybooks
• GL accounts, sub-accounts, cost centers, and projects
Entities
An entity is an independent financial unit used for financial reporting. Define entities in Entity Create (36.1.1.2.1). You specify an entity for each fixed-asset location in Fixed Asset Location Maint (32.1.13).
In Fixed Asset Transaction Post (32.13), you create unposted GL transactions by entity. The user posting the transactions must have access to the entities in User Domain/Entity Access.
Each entity in a domain references cross-company accounts defined for the domain for tracking transfers of fixed assets between entities. For information on defining cross-company accounts, see
QAD Financials User Guide.
These accounts are only used when processing information for more than one entity in a domain. When a transfer transaction is processed referencing more than one entity, the system automatically creates the required intercompany balancing entries using the intercompany code associated with each entity.
Example: A fixed asset that costs $2,400 is being transferred from entity A to entity B. The total accumulated depreciation is $2,000. The following GL transactions are created for entity A:
• Debit Accumulated Expense account $2,000
• Credit Asset account $2,400
• Debit Cross-Company Fixed Assets account $2,400 using intercompany code for entity A
• Credit Cross-Company Fixed Assets account $2,000 using intercompany code for entity A
The following GL transactions are created for entity B:
• Credit Cross-Company Fixed Assets account $2,400 using intercompany code for entity B
• Debit Cross-Company Fixed Assets account $2,000, using intercompany code for entity B
• Credit Accumulated Expense account $2,000
• Debit Asset account $2,400