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NAV Updates

NAV Fixed Assets in Microsoft Dynamics

NAV Fixed Assets

Dynamics NAV Fixed Assets functionality provides an overview of your fixed assets and ensures correct periodic depreciation. It enables you to keep track of your maintenance costs, manage insurance policies, postfixed asset transactions, and generate the various reports and statistics.

 

For each fixed asset, you must set up the card containing the data about the asset. You can set up the buildings or the production equipment as the main asset with the component list, and you can group them in various ways, such as by class, department, or location.

Then you can start to acquire, maintain, and sell the fixed assets. You can also set up budgeted assets. This makes it possible to involve any anticipated acquisitions and the sales in reports.

To keep track of the fixed asset depreciation as well as the other financial transactions related to the fixed assets, you set up one or more depreciation books for each fixed asset in your company.

Depreciation is completed by running the report to calculate periodic depreciation and fill the journal with the resulting entries, ready to be posted.

Microsoft Dynamics NAV Fixed Assets supports several depreciation methods. You can set up the multiple depreciation books per fixed asset for the different purposes, such as one for tax reporting and another for internal reporting.

For each asset, you can record the maintenance costs and the next service date. Keeping track of the maintenance expenses can be important for the budgeting purposes and for making decisions about whether to replace a fixed asset.

Each NAV Fixed Assets can be attached to one or more insurance policies. You can therefore easily verify the insurance policy amounts are in accordance with the value of the assets that are linked to the policy. This creates it easy to monitor the annual insurance premiums.

Before you can begin to manage NAV Fixed Assets, you must set up default values, fixed asset accounting, posting groups, allocation keys, journals, and posting types.

Acquire Fixed Assets

For each NAV Fixed Asset, you must set up a card containing information about the asset. You can set up buildings or production equipment as the main asset with a component list, and you can group them in various ways, such as by class, department, or location. The depreciation book must be set up and assigned to each fixed asset before you can acquire it.

When a NAV Fixed Assets is set up and a depreciation book assigned, you must acquire the fixed asset. To acquire a fixed asset, you record its acquisition cost in the relevant G/L account, bank account, or vendor by posting an acquisition transaction from the Fixed Asset G/L Journal window. You can use the Assisted Fixed Asset Acquisition window to make and post the required general journal lines automatically.

The salvage value is the residual value of the fixed asset when it can no longer be used. You can post a salvage value at the same time as you post the acquisition cost.

Indexation is used to adjust the values for the general price-level changes. The Index Fixed Assets batch job can be used to calculate the acquisition costs at the replacement costs.

To create the fixed asset and acquire it automatically

The given procedure describes how to create the fixed asset and then acquire it by using  Assisted Fixed Asset Acquisition window to create and post the required fixed asset G/L journal lines. You can make and post the journal lines manually.

  1. Enter NAV Fixed Assets, and then choose the related link.

  2. Select the New action, and then fill in the fields on the General FastTab as necessary. Choose the field to read the short description of the field or link to more data.
  3. On the Depreciation Book FastTab, fill in the fields as necessary. This step assigns the depreciation book to the fixed asset.
  4. If you need to assign more than one depreciation book to the fixed asset, select Add More Depreciation Books action. When all fields required to acquire a fixed asset are filled in, You are ready to acquire the fixed asset. Acquire the notification appears at the top of the page.
  5. Choose the Acquire action in the notification.
  6. Follow the steps in Assisted Fixed Asset Acquisition window to complete the automatic acquisition of the fixed asset.

When you choose Finish, the Book Value field in the Fixed Asset Card window is filled, indicating that the fixed asset has been acquired at the specified acquisition cost.

To set up the component list for the main asset

You can group your NAV Fixed Assets into main assets and their components. For example, you may have the production machine that is having many parts that you want to group in this manner.

Both the main asset and all its components must be set up as the individual fixed asset cards. After you have set up the component list, Navision Fixed Assets automatically fills in the Main Assets/Component and Components of Main Asset fields on the fixed asset cards.

  1. Enter the Fixed Assets, and then select the related link.
  2. Choose the fixed asset that is the main asset, and then select the Main Asset Components action.
  3. In the Main Asset Components window, select the FA No. field, and then choose the fixed asset that you want to include as a component of the main asset.
  4. Close the window.
  5. Repeat the steps 3 and 4 for each component asset that you want to include.
  6. Enter Fixed Asset Setup, and then select the related link.
  7. Select the Allow Posting to Main Assets check box.

To post the fixed asset acquisition manually with the fixed asset G/L journal

The below procedure describes how to acquire the fixed asset manually by creating and the posting lines in the Fixed Asset G/L Journal window. You can also acquire the fixed asset automatically by using Assisted Fixed Asset Acquisition window.

  1. Enter FA G/L Journals, and then choose the related link.
  2. In the Fixed Asset G/L Journal window, in the FA Posting Type field, select Acquisition Cost.
  3. Fill in the remaining fields as necessary.
  4. Choose the Post action.

To cancel the acquisition cost posting for one fixed asset

If you make the error when posting the acquisition cost, you can remove the entry with Cancel FA Entries batch job and then post the correct acquisition entry. The erroneous entries are transferred to FA Error Ledger Entries window.

For example, if you post the acquisition with the wrong date, you must correct it as soon as possible because the fixed asset posting date is used is many critical calculations.

  1. Enter Cancel FA Entries, and then select to the related link.
  2. Fill in the fields as necessary. Select the field to read a short description of the field or link to more information.
  3. Select the OK button to run the batch job.
  4. When the entries are canceled, proceed to post the correct acquisition cost.

To cancel the ledger entries for multiple fixed assets at a time, use Cancel FA Ledger Entries batch job.

To post the salvage value together with an acquisition cost

You can post the salvage value together with an acquisition cost from a fixed asset G/L journal.

  1. Enter Cancel FA Entries, and then choose the related link.
  2. Create the acquisition journal line.
  3. In the Salvage Value field on the journal line, enter the salvage value amount as a credit (with a minus sign).
  4. Choose the Post action.

Maintain Fixed Assets

Maintenance expenses are routine periodic costs undertaken to preserve the value of fixed assets. Unlike capital improvements, they do not increase values.

You can record and maintain an up-to-date file on maintenance and service of your fixed assets to have complete maintenance records on a fixed asset easily accessible.

Each time a NAV Fixed Assets is sent to service, you record all relevant information such as date of service, vendor number and service agent’s phone number. Maintenance registration is recorded for each fixed asset from the relevant fixed asset card.

Indexation is used to adjust values for general price-level changes. The Index Fixed Assets batch job can be used to recalculate the maintenance costs.

To record maintenance work on a fixed asset

Every time maintenance has been performed, such as a service visit, you can record it for the relevant fixed asset in the Maintenance Registrations window.

  1. Enter Fixed Assets, and then choose the related link.
  2. Select the fixed asset that you want to record maintenance for, and then choose the Maintenance Registration action.
  3. In the Maintenance Registration window, fill in the fields as necessary. Choose a field to read a short description of the field or link to more information.

To post maintenance costs from a fixed asset G/L journal

  1. Enter Depreciation Book List, and then choose the related link.

  2. Select the depreciation book that is assigned to the fixed asset, and then choose the Edit action.
  3. In the Depreciation Book Card window, make sure the Maintenance check box is not selected. This ensures that maintenance costs are not posted to the general ledger.
  4. Enter FA G/L Journals, and then choose the related link.
  5. Create an initial journal line and fill in the fields as necessary.
  6. In the FA Posting Type field, select Maintenance.
  7. Choose the Insert FA Bal. Account action. A second journal line is created for the balancing account that is set up for maintenance posting.
  8. Choose Post action.

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