Capitalisation of Fixed Asset

sourav1985

I am presently appointed as technical consultant in a mnc using Navision 3.60.
I am presently having a problem.
I would be grateful if somebody tells me how to perform capitalisation of fixed asset.
e.g : Suppose if I construct a building . So, how to keep track of the costs incurred during the construction of building and then include them as acquisition cost of the building through journals in Navision..

Ramya_Venkat

Hi,
You can post acquisition entries using the FA FL journals. with FAPosting type as acquisition cost.

vijayanderson

Add the total amount spent on construction to the Acquisition cost and post.

Use dimension by the name building to post transaction in Purhcased invoice or journal, by this way u can get total amount for Acquisition cost..

or Put the expense as Maintenance cost

vijayanderson

Add the total amount spent on construction to the Acquisition cost and post.

Use dimension by the name building to post transaction in Purhcased invoice or journal, by this way u can get total amount for Acquisition cost..

or Put the expense as Maintenance cost

SarikaG

Hi!

I've just read your query. Please bear in mind that while keeping track of the construction costs of a building project, the depreciation portion. If the accounting treatment is similar as in Aust., you would not be depreciating the costs when the project is on ie its not a fixed asset until your client begins to use it.

In summary, you can/should use FAR for such a purpose - dont have depreciation costs within the posting group set up for Construction project.



good luck!

Sarika

sourav1985 wrote:

I am presently appointed as technical consultant in a mnc using Navision 3.60.
I am presently having a problem.
I would be grateful if somebody tells me how to perform capitalisation of fixed asset.
e.g : Suppose if I construct a building . So, how to keep track of the costs incurred during the construction of building and then include them as acquisition cost of the building through journals in Navision..