Accounting Entries for Fixed Assets

[@SanthoshKumar-gm3td]

Very big thank for your timing. Good to see in clear manner via in excel training. Appreciating u..

[@OracleEbizandFusionVideos]

Thanks and welcome

[@abhisekhnayak5780]

Thank a lot for uploading this video after we requested

[@OracleEbizandFusionVideos]

Thanks

[@MiyuruGuruge]

Hi, Please include how the retirement accounting works when the retiring asset has been revalued earlier. Thanks!

[@OracleEbizandFusionVideos]

Sure

[@ganeshhurule9948]

Very well explained

[@OracleEbizandFusionVideos]

Glad it was helpful!

[@alirazakazmi1033]

hello dear, i think there is a mistake in accounting entry while you are receiving FA item in inventory, put away, entry should be asset clearing account Debit Receiving Account Credit

[@OracleEbizandFusionVideos]

Thanks for identifying the mistake. You are right. Yes, its my bad. I had entered wrong account under Cr by oversight....

[@sateeshkumar-nd5pi]

Thanks a lot for your videos, helps lot, can you please tell me what is the source for asset clearing account to come into debit when we do put away

[@OracleEbizandFusionVideos]

Asset Clearing account is picked up from Item definition

[@onlinealways9853]

Sir @ the GRN= Delivery level , Please tell , the asset clearing will be picked up from where?---Thanks in Advance

[@OracleEbizandFusionVideos]

Asset clearing account should be picked up from Asset category which is assigned at item level

[@shivanandpuranik4689]

Hi Sir, could you please explain why the Inventory AP accrual a/c is credited in case of asset received as well as put away. For me it doesn't make sense as I'm new to Fixed Assets and very eager to understand the concept from ERP system point of view. Also could you please explain the difference between PO receipt and item delivered in simple terms as per Oracle ERP point of view. I appreciate your help. Thank you in advance.

[@OracleEbizandFusionVideos]

You are right. Yes, its my bad. I had entered wrong account under Cr by oversight...

[@OracleEbizandFusionVideos]

Whether your second question is:- Do you want to understand the difference between PO Receipt and Put Away in simple layman terms?

[@shivanandpuranik4689]

@@OracleEbizandFusionVideos Thank you for clarifying sir. Yes indeed. I want to understand the concept of PO receipt & Put Away from transaction point of view

[@OracleEbizandFusionVideos]

In layman terms, as soon as the goods are received near the gate, PO receipt needs to be created and once the goods are assigned to Bay or shelfs then Put Away transaction needs to be created

[@shivanandpuranik4689]

@@OracleEbizandFusionVideos Thank you sir! One last question. Considering your above answer, what will be the changes in the accounting entries for PO receipt and put away. Thank you very much for this video. It became very helpful for me to understand from Accounting point of view.

[@obulnaidu4823]

Please correct me on GRN Accounting entries Receipt: Receiving inventory account Dr Inv.AP Accrual account Cr Delivery: Asset clearing account DR Receiving inventory account CR Invoice Accrual DR Liability CR But I am also thinking that, Accruals for Expense items and assets are recognised in the Period end, so accounting should be as follows PO Receipt: No Entry at receipt. This will be generated and reversed during period close. Charge Account DR Accrual Account CR Invoice: Asset clearing/Charge Dr--comes from PO Liability CR

[@OracleEbizandFusionVideos]

Yes, your entries are correct

[@4bettersociety511]

Asset Cost account is different from back end (FA_distribution_history) when checking it in Asset category, is there other place to check the asset cost in front end.

[@OracleEbizandFusionVideos]

You can check Asset cost in Asset Workbench

[@4bettersociety511]

@@OracleEbizandFusionVideos thanks Aravind, can you help me which accounting entries will be generated in the event of Asset reclassifcation?

[@OracleEbizandFusionVideos]

@@4bettersociety511 , what kind of Asset reclassification are you referring here? Change of Asset Category?

[@yuanli7128]

Thanks a lot for spending time working on these videos. I like them and subscribed. Did you generate this excel from Oracle system or you created it?

[@OracleEbizandFusionVideos]

I created this spreadsheet manually

[@cayash4187]

@@OracleEbizandFusionVideos Can you please share accounting entries all modules @[e-mail]

[@OracleEbizandFusionVideos]

@@cayash4187 Sent

[@MrArmaani]

Very Useful Video, Please answer one simple question is it possible to use Budgeting for Inventory or Assets Items ??

[@OracleEbizandFusionVideos]

If you are referring to GL Budgets, then yes, you can enter Budgets for any account

[@harishy5577]

Very useful 👍

[@OracleEbizandFusionVideos]

Thanks

[@OracleEbizandFusionVideos]

Ping me on my facebook page:- facebook.com/CAArvindVaraganti/

[@SanketDarokar]

This video is very helpful, Can you please share the Excell sheet with P2P, O2C , FA accounting entries?

[@OracleEbizandFusionVideos]

Ping me your email id here or ping me on my facebook page:- facebook.com/CAArvindVaraganti/

[@Crazykids3935]

Hi sir, This was a very great explanation. Thanks for the video. And if it is possible can you do a video on "MD50 documentation".

[@OracleEbizandFusionVideos]

Sure

[@OracleEbizandFusionVideos]

See below video on how to create MD050 document... kzbin.info/www/bejne/bX-ZkqSqoqp0frc

[@abhisekhnayak5780]

One of my friend asked me about EIP cleaning . What is it? and when we use this account during asset accounting process

[@OracleEbizandFusionVideos]

EIP Cleaning account?

[@abhisekhnayak5780]

@@OracleEbizandFusionVideos yes what is EIP cleaning account

[@howellmarquez8163]

Hi Sir, this is very helpful. Thank you. Do yu happen to have cash managament module presentation?

[@OracleEbizandFusionVideos]

Stay tuned. I will create videos on Cash Management in the next couple of weeks

[@OracleEbizandFusionVideos]

As requested, please see below video on Cash Management:- kzbin.info/www/bejne/ooCWnWqQiayWrck

[@cayash4187]

Hi What is the use of assets clearing account defined as category level?

[@OracleEbizandFusionVideos]

When you create a FA related AP invoice, the below will be the journal entry which would be created:- Asset Clearing A/c Dr AP Liability A/c Cr When FA Asset is created (after running of Mass Additions process), then the below entry would be created:- Asset Cost A/c Dr Asset Clearing A/c Cr Hope, this clarifies the usuage or significance of Asset Clearing account

[@tomaszjarzabek5453]

Will AP to FA load happen if FA clearing account is not there on the invoice line?

[@OracleEbizandFusionVideos]

Ideally "Track as an Asset" checkbox needs to be checked for AP invoice distribution line in order for Mass Additions process to consider the AP invoice distribution line to be transferred to FA... If you use FA Clearing account in AP invoice distribution line, then "Track as an Asset" checkbox will be automatically checked and hence pushed to FA

[@V-bz1qy]

In PUT AWAY step why didn't we use ASSET CLEARING A/C DR. TO AP Accrual this way Material Receiving TO AP ACCRUAL IS NOT GETTING KNOCKED OFF ,Is there any logic behind it ?

[@OracleEbizandFusionVideos]

Based on the below entries, let me know why do you think that AP Accrual account is not getting knocked off? 1. PO Receipt (i.e. Asset is received):- Receiving Inventory A/c Dr AP Accrual A/c Cr 2. Item Delivered (i.e. Put Away):- Asset Clearing A/c Dr Receiving Inventory A/c Cr 3. AP Invoice:- AP Accrual A/c Dr AP Liability A/c Cr 4. Asset Addition (after Mass Additions Process):- Asset Cost A/c Dr Asset Clearing A/c Cr

[@jabeenshaik5051]

Hello sir! , I have a doubt with regarding ap accrual account source you have mentioned ap accrual sources as purchasing options in ap accounting entries video but here mentioned as inventory org parameters, could u pls clarify it .... Thanks in advance

[@OracleEbizandFusionVideos]

AP Accrual account is mentioned under Inventory Org parameters

[@jabeenshaik5051]

@@OracleEbizandFusionVideos thank u so much

[@jabeenshaik5051]

@@OracleEbizandFusionVideos sir! What's the difference between the inventory accrual account which we define under inv .org parameters and the expense accrual account which is defined under purchasing options?

[@OracleEbizandFusionVideos]

@@jabeenshaik5051 Inventory AP Accrual account is mentioned in Inventory Org Parameters, whereas Expense AP Accrual account is mentioned in Purchasing Options.... System uses Inventory AP Accrual account for Inventory Items and Expense AP Accrual for Expense items

[@jabeenshaik5051]

@@OracleEbizandFusionVideos thank u so much

[@KumR]

Thanks a lot. Can u please add link for that excel which you used?

[@OracleEbizandFusionVideos]

You can ping me on my facebook and provide your email id so that i can share the excel file.

[@Crazykids3935]

@@OracleEbizandFusionVideos please sir share me too [e-mail]

[@OracleEbizandFusionVideos]

@@KumR Sent

[@OracleEbizandFusionVideos]

@@Crazykids3935 Sent

[@Crazykids3935]

@@OracleEbizandFusionVideos I Got excel file which you have sent to me. Thank you so much sir🙏

[@mansichhabra2289]

Hi, Big fan of you but the entry of Delivery is wrong. It should Credit Receiving Inventory. Can you please tell how will the Asset Clearing account default on PO Charge account. In my case it is defaulting as a Inventory account. How can we make it specific to a Asset Item.

[@OracleEbizandFusionVideos]

Yes, entry for Delivery was wrong... I realized it after uploading of the video... Please check my description section where i had already updated the correct accounting entry

[@MdAlam-qi9po]

I dont have a Facebook ID. Is there any other way to contact you yo get the Excel spreadsheet?

[@OracleEbizandFusionVideos]

Provide me your email id

[@MdAlam-qi9po]

[e-mail]

[@OracleEbizandFusionVideos]

@@MdAlam-qi9po Sent

[@SanketDarokar]

@@OracleEbizandFusionVideos Hi Sir, could you please sent the sheet to me as well, [e-mail]

[@maheshroyal2484]

Hi sir, please share the excel file to me [e-mail]

[@guhant9249]

kindly share the excel for study

[@OracleEbizandFusionVideos]

Please ping me your email id on my facebook page

[@guhant9249]

@@OracleEbizandFusionVideos I pinged my email on FB

[@OracleEbizandFusionVideos]

@@guhant9249 i sent email to that email id and it bounced... Probably, give me another email id