How to Purchase an Asset?

To Purchase an Asset, 3 steps needs to be done

1. Create PO:

a. Follow this link to CREATE PO

b. Enter all the required info.

c. Also note that, Asset Qty CANNOT be more than 1. If same Asset needs to be re-purchased then create 10 more Asset like that with same info but change in Asset Code.

2. Create Item Receipt:

a. Follow this link to CREATE ITEM RECEIPT

b. Enter all the required info.

c. Once Item Receipt is made, on hand qty of Asset is increased to 1, which means asset is received and is its in stock.

d. With this transaction, there will be financial impacts i.e., DR = Asset Ledger (Linked in Asset Master or while creating Asset) & CR = Temporary Clearing account.

e. Also based on this transaction, Asset Master will update the Asset Purchase Date, Asset Purchase Price & Asset Depreciation Table in Asset Master Module.

3. Create Purchase Invoice:

a. Follow this link to CREATE PURCHASE INVOICE

b. Enter all the required info.

c. This transaction is for recording Payables against the Vendor from whom the Asset was purchased.

d. The financial impact will be DR = Temporary Clearing Account & CR = Accounts Payable.

4. Vendor Bill Payment:

a. Follow this link to make VENDOR PAYMENT

b. If Advance was paid to Vendor, then make VENDOR ADVANCE and then link it in Vendor Payment Module to the Invoice, once Asset is Received.