Managing Assets in Axanta ERP

The Assets module is used to register fixed assets, calculate depreciation, create depreciation entries, and monitor asset values throughout their useful life.

1. Create a New Asset

Go to Accounting → Assets → Assets and click New.

Field	Purpose	Example
Asset Name	Identifies the asset.	Office Computer
Reference	Company asset number or code.	FA-00125
Purchase Value	Original cost of the asset.	$6,000
Asset Start Date	Date from which the asset’s depreciation life begins.	1 January 2026
Salvage Value	Estimated value remaining after depreciation.	$600
Asset Profile	Provides the accounting accounts and default depreciation settings.	Computer Equipment
Asset Groups	Classifies assets for searching and reporting.	IT Equipment
Partner	Supplier or other party connected to the asset.	ABC Supplier
Analytic Distribution	Allocates depreciation expense to departments, projects, or cost centres.	Finance Department 100%

Important: Select the correct Asset Profile before confirming the asset. The profile cannot be changed after accounting entries have been created.

Image placeholder: Insert an image of the asset General section.

2. Configure Depreciation

Configure the depreciation schedule, calculation method, and any special treatment required by the company’s accounting policy.

2.1 Set the Depreciation Schedule

Field	What to Select or Enter	Example
Time Method	Select Number of Years or End Date to use a useful life or ending date. Select Number of Depreciations to use a fixed number of entries.	Number of Years or End Date
Number of Years	Enter the asset’s useful life when the Time Method is based on years.	5 years
Number of Depreciations	Enter the number of required entries when the Time Method is based on depreciations.	60 monthly entries for 5 years
Period Length	Select how frequently depreciation is scheduled.	Month
Ending Date	Enter a final date when depreciation must finish on a specific date.	31 December 2030

Important: When using Number of Depreciations, enter the number of entries rather than the number of years. Five years with monthly depreciation requires 60 entries.

2.2 Depreciation Methods

Method	How It Works	Example
Linear	Spreads Purchase Value minus Salvage Value over the useful life.	($6,000 − $600) ÷ 5 = $1,080 per year
Linear up to Salvage Value	Calculates using the full purchase value but stops when the salvage value is reached.	Depreciation stops at $600
Degressive	Applies a percentage to the remaining value. Earlier depreciation is normally higher.	$6,000 × 30% = $1,800
Degressive-Linear	Starts as Degressive and changes to Linear when the Linear amount becomes higher.	Used for accelerated depreciation
Degressive up to Salvage Value	Uses Degressive depreciation but does not go below the salvage value.	Depreciation stops at $600
Degressive Factor	Percentage used by the Degressive methods.	Enter 0.30 for 30%

Degressive-Linear can only be used with the Number of Years or End Date Time Method.

2.3 Additional Calculation Options

Option	How It Works	Example
Prorata Temporis	Enabled by default. It starts depreciation from the actual Asset Start Date instead of the beginning of the financial year.	An asset starting on 15 March is depreciated from 15 March.
Calculate by Days	Calculates depreciation using the actual number of days in each period.	Used for a partial first or final month.
Use Leap Years	Considers whether each year has 365 or 366 days when calculating the annual amount.	The depreciation schedule includes 2028.

Prorata Temporis is enabled by default. When the Time Method is Number of Depreciations, it remains enabled and cannot be manually disabled.

Use Leap Years is hidden when Calculate by Days is enabled because the daily calculation already considers the actual number of days.

2.4 Handle Missed Depreciation

Option	When to Use It	Example
Accumulate Missed Depreciations	Use when depreciation belongs to locked accounting periods and should be added to the first available open period.	$300 from locked periods is added to the next open entry.

Do not use Accumulate Missed Depreciations for an amount already entered under Depreciation Closing Balance. This could count the same depreciation twice.

Image placeholder: Insert an image of the Depreciation Dates and Depreciation Method sections.

3. Depreciation Closing Balance

Use this section when an existing asset already has depreciation recorded before it is entered into Axanta ERP. Leave these fields empty for a newly purchased asset that has not previously been depreciated.

Field	Purpose	Example
Depreciation Closing Date	Date up to which depreciation has already been recorded.	15 March 2026
Closing Accumulated Depreciation	Total depreciation already recorded up to the closing date.	$1,500

3.1 Example

Information	Value
Purchase Value	$6,000
Asset Start Date	1 January 2025
Useful Life	5 years, monthly
Depreciation Closing Date	15 March 2026
Closing Accumulated Depreciation	$1,500
Closing Balance Board Date	31 March 2026
First Future Depreciation	30 April 2026
Final Depreciation Date	31 December 2029

A closing date does not need to be a scheduled depreciation date. For a monthly schedule, a closing date of 15 March 2026 is accepted. The closing balance is placed on 31 March 2026, and future depreciation starts on 30 April 2026.

3.2 Closing Balance Rules

Rule	System Result
A closing amount requires a closing date.	The asset cannot be saved without the date.
The closing date cannot be before the Asset Start Date.	An error is displayed.
The closing date cannot be after the final depreciation date.	An error is displayed.
The amount cannot exceed the depreciation base.	An error is displayed.
Historical depreciation is represented by one closing line.	Separate historical depreciation lines are not created.
The original useful life is retained.	Entering the asset does not extend its final date.

Critical accounting note: Closing Accumulated Depreciation does not create a journal entry. The fixed asset and accumulated depreciation opening balances must be recorded separately in accounting.

Closing balance values cannot be changed after depreciation accounting entries have been posted.

Image placeholder: Insert an image of the Depreciation Closing Balance section.

4. Review and Confirm the Asset

Open the Depreciation Board tab and review the complete schedule before confirming the asset.

Board Column	Meaning	Example
Date	Scheduled date of the depreciation line.	31 March 2026
Days	Number of days included in the period.	31 days
Amount Already Depreciated	Accumulated depreciation before the current line.	$1,500
Amount	Depreciation amount for the current line.	$90
Remaining Value	Remaining depreciable amount after the current line.	$4,410
Opening/Initial	Identifies opening information that will not create a normal depreciation entry.	Selected for the closing balance line
Posted	Shows whether a journal entry has been created.	Selected after entry creation

Click Compute to recalculate the depreciation schedule. This does not create accounting entries.

When the schedule is correct, click Confirm Asset. The asset status changes from Draft to Running.

Confirm the asset only after checking its value, start date, profile, depreciation method, useful life, closing balance, and final depreciation date.

Image placeholder: Insert an image of the asset Depreciation Board.

5. Create Depreciation Entries

Option	Purpose	Example
Create Move	Creates and posts an accounting entry for one depreciation line.	Post depreciation for March 2026
Compute Assets	Posts due depreciation entries for all Running assets up to a selected date.	Process all entries up to 31 March 2026
Journal Entries	Opens the accounting entries connected to the asset.	Review depreciation expense entries

To process all due assets, go to: Accounting → Assets → Compute Assets.

Critical note: Create Move and Compute Assets post accounting entries immediately. Check the depreciation date and amount before processing.

Image placeholder: Insert an image of the Compute Assets window.

6. Overall Depreciation Board

Go to Accounting → Assets → Depreciation Board to review depreciation lines for all assets.

Feature	Available Options	Example Use
Date Filters	Custom date range, Up to Today, or From Today	View depreciation for March 2026
Entry Filters	Pending, Entries Created, Opening/Initial, and Closing Balance	View entries not yet created
Type Filters	Depreciation, Depreciation Base, or Removal	Show depreciation lines only
Group By	Asset, Profile, Month, Year, Type, Status, or Company	Group depreciation by asset
Pivot View	Analyses depreciation, accumulated depreciation, and remaining values.	Compare monthly depreciation by asset
Graph View	Compares depreciation amounts visually by period.	View monthly depreciation totals

A Closing Balance line is shown for reporting and reconciliation. It does not mean that an accounting entry was created.

Image placeholder: Insert an image of the overall Depreciation Board.

Image placeholder: Insert an image of the Depreciation Board Pivot view.

7. Asset Statuses

Status	Meaning	Available Action
Draft	The asset is being prepared and reviewed.	Edit and confirm the asset
Running	The asset is active.	Create depreciation entries
Close	The depreciation schedule has been completed.	Review or remove the asset
Removed	The asset has been sold, scrapped, or removed.	Review removal entries

8. Financial Assets Report

Go to: Accounting → Reporting → Financial Assets → Financial Assets Report .

Report Option	Purpose	Example
Asset Group	Limits the report to a selected asset category.	IT Equipment
Start Date	Beginning of the reporting period.	1 January 2026
End Date	End of the reporting period.	31 December 2026
Include Draft	Includes assets that have not been confirmed.	Select when draft assets are required
Company	Selects the company to include in the report.	Axanta Company

Image placeholder: Insert an image of the Financial Assets Report options.

9. Final Review Checklist

Check	Required Review
Asset Details	Name, reference, purchase value, start date, and salvage value
Asset Profile	Correct accounting accounts and depreciation defaults
Depreciation Schedule	Time Method, useful life, period, and ending date
Calculation	Method, Prorata Temporis, day calculation, and leap years
Closing Balance	Date and accumulated depreciation agree with prior records
Depreciation Board	First future entry and final depreciation date are correct
Accounting Opening Balance	Fixed asset and accumulated depreciation opening entries have been recorded separately

Final critical note: The Depreciation Closing Balance updates the asset’s depreciation schedule only. It does not create an opening accounting journal entry.