Adjusting, Transferring, and Evaluating Assets

This chapter provides an overview of adjusting, transferring, and evaluating assets and discusses how to:

Adjust cost and transfer assets.
Transfer parent-child assets to other business units in mass.
Revalue assets in mass.
Update noncapitalized costs.
View cost history and summarize cost rows.
Update the general ledger with adjustments and transfers.
Modify or delete pending asset transactions.
Adjusting for asset impairments.

Understanding Adjusting, Transferring, and Evaluating Assets

Periodically, you needit is necessary to make changes to asset records to correct errors or add newly received information. You can modify any information that has been entered about assets, including cost, quantity, depreciation rules, location, physical attributes, and so on.

Sometimes adjustment and transfer changes have a financial or tax impact. Changes to physical information about an asset, such as its weight, do not affect cost or depreciation. However, changing quantity, cost, depreciation attributes, or department affect your financial and tax books.

You must be able to undertake an effective impairment test cycle for assets on at least an annual cycle at the balance sheet date depending on business industry and location. Asset Management provides an impairment evaluation process that allows you to assess potential impairment of user-defined asset selections. The impairment worksheet enables you to enter recoverable amounts and automatically calculates potential impairment losses. Subsequent to this review, the impairment worksheet generates the associated accounting entries to enable you to recognize these adjustments in your accounting system. This process eliminates manual steps and minimizes accounting errors.

PeopleSoft supports the ability to maintain asset histories. Information on a per-asset basis is available within each record. Cost summary reporting and asset component hierarchy history reporting are both also available.

Adjusting Cost and Transferring Assets

This section provides an overview of cost adjustments and asset transfers and discusses how to:

Define asset transactions.
Enter cost information for transactions.
Specify transfer to/from books information
Mark assets up or down.
Select a child asset for adjustment or transfer.
Enter child asset details.
Add advanced transaction details.

Understanding Cost Adjustments and Asset Transfers

To adjust cost and transfer assets:

Select the type of transaction, enter accounting and transaction dates, and specify the transaction data that is required to update your general ledger.
Make the actual adjustments or cost entries.
Select some, none, or all child assets to include in the transaction that you are performing. The Child Assets page appears only when the asset you are transacting against is a parent asset and the transaction type is a transfer. A separate Application Engine process is provided for transferring parent-child assets between business units.

Note. Adjustments to parents don't automatically filter down to the child assets; therefore, the Child Asset page won’t appear for adjustments. Instead, add another child asset. A reminder message stating that child assets are associated with the parent asset that you are adjusting will appear.
Use the Pending Transaction page for workflow processing.
If you have changed information in a book that posts to your general ledger, Asset Management generates the appropriate accounting entries when you run Create Accounting Entries (AM_AMAEDIST) or Depreciation Close (AM_DPCLOSE). The asset account is updated when you generate and post the journal entries.

See Also

Defining Accounting Entries

Pages Used to Adjust Cost and Transfer Assets

Page Name	Object Name	Navigation	Usage
Main Transaction	ASSET_COST_01	Asset Management, Asset Transactions, Financial Transactions, Cost Adjust/Transfer Asset	Identify the cost/adjust/transfer transaction that you want to perform.
Cost Information	ASSET_COST_01A	Click the GO! button on the Main Transaction page.	Enter or adjust cost information that is required by the transaction that you initiated from the Main Transaction page.
Asset Location Transfer	ASSET_COST_02_S2	Click the Change Location link on the Cost Information page.	Change the location for an asset.
Asset Cost IU Transfer	ASSET_COST_02	Click the InterUnit Transfer Options link on the Cost Information page.	Select the asset information that you want transferred with the asset. The link appears on the page only after you select Fixed Price MarkUp as the action on the Main Transaction page.
Asset Cost IU Book Transfer	ASSET_COST_02_S1	Click the Transfer To/From Books link on the Cost Information page.	Specify how cost information for the transfer will be passed between business books. This link appears when you have selected InterUnit Transfer as the action on the Main Transaction page and when you have entered the business unit to transfer to.
InterUnit Proceeds	N/A	Click the Proceeds button on the Cost Information Page. This button appears on the page only when you select Fixed Price Mark Up as the action on the Main Transaction page.	Apply a markup or markdown to the asset that you are transferring.
Child Assets	CHILD_ASSETS	Asset Management, Asset Transactions, Financial Transactions, Cost Adjust/Transfer Asset, Child Assets	Select child assets to include in the transfer or recategorization that you have initiated against the parent assets.
Child Asset TRF/RCT Overrides	AM_PARCHD_TRF_RCT	Click Child Details on the Asset Cost/Adjust Transfer Child Assets page.	Specify transaction overrides for a specific child asset. You can specify specific convention, quantity, cost, transaction percentage, transaction date and accounting date for the child asset on this page.
Parent Asset Adv Txn options	FULL_PART_SEC	Click the Advanced Txn Details link on the Asset Cost/Adjust Transfer Child Assets page.	Specify transaction overrides for all child assets at once. For example, you would use this page to specify that only 50 percent of the cost of all child assets be transferred between departments, while the parent asset is fully transferred. Select to apply as full transaction, actual percentage, or transaction amount.

Defining Asset Transactions

Access the Main Transaction page.

Transaction Date and Accounting Date

Displays the current date or the dates that are specified as operator defaults. As a rule, transactions are entered in Asset Management some time after they have occurred. Any difference between accounting and transaction dates will affect depreciation as well as posting.

See Adding and Maintaining Asset Information.

Transaction Code

(Optional) Select a code to help identify which accounting entry template to use for this transaction.

Rate Type

Enter the currency exchange rate type to use for this transaction.

Copy Changes to Other Books

Select to copy the changes that you make to other books.

Adjust Other Books by

Select to adjust the other books by Amount or Percent.

Select Percent to transfer a percentage of the amount from subsequent books. For example, suppose you have an asset with two books, Corporate and Federal. The cost amount for Corporate is 5000.00 USD and is 4000.00 USD for Federal.

If you transfer 2500.00 USD from the Corporate book, select Copy Changes to Other Books, and then specify the Percent option. 2500.00 USD will be transferred from the Corporate book and 2000.00 USD will be transferred from the Federal book.

If you select Amount, a transfer of 2500.00 USD from both books will occur.

If you have a multicurrency business unit, the Amount option will be overridden by Percent when you transfer or recategorize an asset.

Note. If you do not select the Copy Changes to Other Books option, when the book that you are changing is associated with a ledger group that contains multiple ledgers, and the Keep Ledgers In Synccheck box is selected for the ledger group, changes will be copied to other books that associated with the same ledger.

Include Convention

The options are to Exclude or Include a depreciation convention. The depreciation convention automatically displays AM (actual month) for all transactions. If you choose to have the convention included, the convention will be copied to all books. If you choose to have the convention excluded, the convention will not be copied to all books. You can override each book separately at the transaction level also.

Action

Select the financial transaction to be performed. Select an action and click the GO! button:

Addition:

Adds an adjustment cost line with transaction type of ADD as a result of alternate or multiple funding sources, and so on. This option works the same as Adjustment, except that the transaction type in the cost table will be ADD instead of ADJ. If you use multiple currencies to track asset transactions, access toTransaction Currency fields for Adjust All Rowsand Adjust Current Row Byare available. When you click Apply, these fields are unavailable for entry. The transaction cost is converted to the base cost and added to the total cost of the asset. Exchange rates cannot be viewed from this component.

Adjustment: Adjusts the cost or quantity of an existing row and adds a line with a transaction type of ADJ. If you use multiple currencies to track asset transactions, access toTransaction Currency fields for Adjust All Rowsand Adjust Current Row By are available in this activity. When you click Apply, these fields are unavailable for entry. The transaction cost is converted to the base cost and added to the total cost of the asset. Exchange rates cannot be viewed from this component.

Fixed Price MarkUp: Applies a markup to the asset that you are transferring. Transaction Currency fields are unavailable for enter for this activity.

InterUnit Transfer: Transfers an asset from one business unit to another with different legal entities. Transaction Currency fields are unavailable for entry for this activity.

Recategorize: Changes an asset category or cost type. Asset Categories classify assets by type for accounting entry purposes. Transaction Currency fields are unavailable for entry for this activity.

Revaluation: Revalues an asset by percentage. Revaluation occurs as a result of a monetary revaluation or to account for inflation and is prescribed by a governmental entity. This value is used mostly in countries with high rates of inflation. Transaction Currency fields are unavailable for entry for this activity.

Transfer: Transfers an asset within the same business unit. For example, you can make a transfer between two departments or two operating units as an intraunit transaction as opposed to a transaction between two distinct and separate business units, or an interunit transaction.Transaction Currency fields are unavailable for this transaction.

Entering Cost Information for Transactions

Access the Cost Information page.

In this example, the page displays different fields and value options for addition, adjustment, recategorization, revaluation, and transfer activities.

In this example, the page displays interunit transfer or fixed-price markup-activity information.

Note. If you want to perform multiple transactions, complete one transaction, and then save and reenter the page to begin the next transaction. Doing so preserves the audit trail for each transaction.

Note. Transaction currency appears by default from the asset book base currency. Each line can reflect a different transaction currency, depending on the transaction. Balances are displayed in the base currency after the transaction currency is converted to the base currency.

Change Location	Click to change the asset’s location.
Convention	Convention appears by default as Actual Month for all transactions. If you selected the Copy Changes to Other Books check box on the Main Transaction page, convention will not be copied to all books. You need to override each book separately.
Cost History	Shows cost balance for the selected asset. You cannot update information here, but you can review cost rows and their associated ChartFields for an asset.

We discuss the remaining fields on the Cost Information Page in the context of the transaction being performed. Some fields are available only for certain transactions.

Note. If the asset transactions that you want to adjust are still pending (depreciation has not yet been run), you may, depending on the transaction type, be able to delete or change them.

Cost History

Expand this group box to view cost history information.

The information displayed includes ChartField or Salvage Value, Category and Cost Type.

Edit Cost Information

Add new cost rows in the Edit Cost Informationgroup box.

Cost,Percent, and Quantity

Enter as necessary, and enter additions and adjustments for any appropriate ChartFields.

Adjusting Total Cost or Quantity

You can adjust the total cost of an asset by either a percentage of its original cost or by a specific cost amount.

Adjust All Rows By

Enter the appropriate percentage or amount in the appropriate fields: Percent, Quantity, and Cost. The default is a positive adjustment. To make a negative adjustment, enter a negative percentage or amount. In a transaction, you can adjust the cost either by percent or cost, but not both.

You can adjust the total quantity of an asset by entering the Quantity adjustment. The default is a positive adjustment. If you want to make a negative adjustment, you must enter a negative quantity.

Apply

Click to prorate the adjustment and add it to each cost row in cases of multi-chartfield asset. If the asset has one ChartField combination, the cost is added to the total cost. The system automatically calculates and displays the adjusted total cost. If the cost that is entered is in a different currency than the base currency of your book, the cost is converted to the base currency before the cost rows are adjusted.

Note. Changes are applied only to the current book unless you select the Copy Changes to All Books check box on the Main Transaction page. If you select this option, your changes will be visible after you save the page and then restart it.

Note. Currency for Adjust by Percent is the same as the base currency of the book. However, Currency for Adjust by Cost can be any valid value.

Adjusting Cost or Quantity by Cost Row

Cost and Quantity

To adjust the cost or quantity for a particular cost row, enter the new field values directly into the cost row. You can adjust an asset’s cost for individual cost rows by entering the new cost into the Cost field for each cost row that you’d like to change. To adjust the quantity for individual cost rows, enter the new quantity into the cost rows, not the number of units by which quantity will increase or decrease.

For example, if the quantity should be adjusted from 1 to 2, enter 2. This changes only the quantity, not the cost.

Note. To establish an audit trail, you should change cost information one field at a time. For example, if you need to change the department and adjust the cost, enter the new department and save your change, and then go back and adjust the cost.

Apply

Click to apply the adjustment to each cost row. The system automatically calculates and displays the adjusted total quantity.

Transferring Assets Within a Business Unit

Periodically, you’ll need to transfer assets from one department, product, or project to another. In addition to physically relocating the assets, you may need to change some of the ChartField elements to correctly allocate asset cost and depreciation expense. You can perform full, partial, or retroactive transfers.

Note. This transaction describes transferring assets within a business unit.

See Transferring Assets to Other Business Units (InterUnit Transfers)

Full Transfers – Edit Cost Information

A full transfer requires you to transfer all units or the total cost of the asset.

Oper Unit (operating unit), Dept (department), Program, Product, and Project (and any other delivered or customized Chartfield)

Enter the new values into the appropriate fields.

Partial Transfers – Edit Cost Information

Partial transfers are useful when you want to assign an asset’s cost and depreciation to two or more sets of ChartFields. To partially transfer an asset, you’ll need to perform a separate transfer for each set of ChartFields.

Oper Unit (operating unit), Dept (department), Project, or Product (and any other delivered or customized Chartfield)

For each transfer, select the appropriate ChartFields, and enter quantity and amount in the Edit Cost Information group box.

For example, suppose department 43000 has two automobiles, worth a total of 60,000 JPY. You plan to transfer one car from department 43000 to 12000, and the other from department 43000 to 14000. Because the cost of the assets will eventually be allocated to two separate sets of ChartFields, you’ll need to perform two separate transfers. Each transfer will move 30,000 JPY out of department 43000 and into departments 12000 and 14000.

Retroactive Transfers

You may want to transfer assets retroactively if they were transferred during a prior accounting period, but are not yet entered in Asset Management. To do this, enter the transaction and accounting dates on the Main Transaction page and enter the appropriate cost information in the Edit Cost Information group box. The system will create correcting entries that back out depreciation from the original department for the period between the transaction date and the accounting date. Prior period depreciation for that same period will be posted for the new department.

Recategorizing Assets – Edit Cost Information

You may want to recategorize assets either because you entered the incorrect category or cost type, or because you have created a new category or cost type and want to transfer existing assets to the new reclassification.

Category and Cost Type

Change the values as needed. Recategorizing an asset affects depreciation.

Revaluing Assets

Asset revaluation is done primarily in countries with high rates of inflation.

Cost Type

To revalue assets, select an action of revaluation, which will change the cost type to R, and enter the appropriate percentage in the Adjust All Rows By Percent field. Click Apply. The system will create an adjustment cost line with cost type of R.

Note. Entering changes to cost information and transacting transfers, recategorizations, revaluations, and so on, affect prior calculated depreciation and accounting entries. You must run both depreciation and accounting entry processing when you make these changes.

Transferring Assets to Other Business Units (InterUnit Transfers)

Asset Management gives you full flexibility in performing InterUnit transfers. You can fully or partially transfer assets from one business unit to another, or from one business unit to many others. You can do full or partial transfers y cost, quantity, or percentage.

Note. You cannot perform interunit transfers on joint venture business units.

InterUnit processing is processed through the PeopleSoft Centralized Inter/IntraUnit Processor. It provides consistent setup and centralized processing to manage Inter/IntraUnit transactions.

Note. In cases in which you want to perform an InterUnit transfer between two Asset Management business units that report to different General Ledger business units, you should retire the asset from the first business unit and add it to the second business unit. (Use an action of ADD instead of TRF). However, when both Asset Management business units report to the same General Ledger business unit, InterUnit transfers automate transactions for you no matter which transaction you choose.

The procedures for performing interunit transfers that are discussed in this section do not apply to parent-child assets. You do InterUnit transfers for parent-child assets by using an application engine program.

Note. To transfer parent and child assets among business units in this application engine, you must set up the appropriate InterUnit Transfer Definitions.

In New Unit, select the business unit to which you are transferring the asset. The New Asset IDfield is populated by default as NEXT. You can change this if you want. Do not enter an existing asset ID unless you want to transfer cost between the two assets.

Select a profile ID that is valid for the new business unit to set up book reporting. Trans Code (transaction code) identifies which accounting entry template to use for this transaction. Only valid combinations for accounting entry templates that exist are accepted.

Click the InterUnit Transfer Options link to access the InterUnit Transfer Options page, where you can select the asset information that you want transferred with the asset.

Click Transfer From/To Books to access the Transfer From/To Books page, where you specify the way in which cost information is passed between business unit books.

Use the fields in the Edit Cost Information group box to specify the cost and quantity to be transferred.

Use the Use Profile option to get profile attributes when New Profile ID has been enabled. If it is not enabled, the profile attributes are derived from the “from” or original asset profile.

Click Proceeds to open the InterUnit Proceeds page, where you can specify a markup value to be applied to the transferred assets in the receiving business unit. This feature is often used in European countries.

You can perform full interunit transfers from one business unit to another, or from one business unit to many others. You can also perform a partial interunit transfer in which the original business unit retains a portion of the asset but transfers part of it to another business unit.

Full InterUnit Transfers from One Business Unit to Another

Full interunit transfers from one business unit to another are the simplest transfers to perform. After you have completed the information in the Enter New Unit group box and its pages and saved the Cost Information page, all cost rows are transferred to the new business unit.

Full InterUnit Transfers from One to Many Business Units

You can transfer to as many business units as existing cost rows. To do this, enter one of the receiving business units in the New Unit field in the Enter New Unit group box. Complete the rest of the InterUnit transfer information. Review each cost row in the Edit Cost Information group box. All cost rows will show the new business unit that you entered in the New Unit field. Change the business unit for each cost row as appropriate. In this way, you can transfer all cost rows for an asset to multiple business units.

You can transfer part of an asset to a different business unit and enable the original business unit to retain a portion of it. To do this, enter the receiving business unit in the New Unit field in the Enter New Unit group box. Complete the rest of the InterUnit transfer information. Review each cost row in the Edit Cost Information group box. All cost rows will show the new business unit that you entered in the New Unit field. To retain some ownership of the asset with the original business unit, change the business unit on some cost rows back to the original unit.

Note. Transaction currency is supplied by default from the base currency of the book. Each line can reflect a different transaction currency depending on the transaction. Balances are displayed in the base currency after the transaction currency is converted to the base currency.

Specifying Transfer To/From Books Information

Access the Asset Cost IU Book Transfer page.

The transactions that are generated to pass book information for InterUnit transfers differ depending on how many To books a From book is passing information to, and whether it is passing the information using a Transfer Book action or an Add Book action.

Note. Assets that you transfer to new business units using the Add Book action will have a cost row of zero on the new business unit until you run the Depreciation Calculation application engine program (AM_DEPR_CALC). Running this program updates the asset’s cost row with its net book value from the From book.

Using a From Book Once

When you use a From book once only, an Add Book action generates a retirement for the From book and an add to the To book. A Transfer Book action generates a Transfer Out for the From book and a Transfer In for the To book.

The asset that is retired receives an asset status of Disposed on the From book.

These tables show that assets that you transfer between books using the action Transfer Book receive a status of Transferred.

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Transfer Out	CORPORATE	Transfer In	Transfer Book
FEDERAL	Transfer Out	FEDERAL	Transfer In	Transfer Book

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Transfer Out	CORPORATE	Transfer In	Transfer Book
FEDERAL	Retire	FEDERAL	Add	Add Book

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Retire	CORPORATE	Add	Add Book
FEDERAL	Retire	FEDERAL	Add	Add Book

Using a From Book for Two or More Transfers

When you use a From book for two or more Transfer Book actions, only one Transfer Out transaction is generated. Because this takes care of the cost on the From book, no additional Transfer Out transactions are generated for that book.

This table shows that assets that you transfer between books using the Transfer Book action receive a status of Transferred.

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Transfer Out	CORPORATE	Transfer In	Transfer Book
CORPORATE		LOCAL	Transfer In	Transfer Book

Using a From Book for Both Transfer and Add

When you use a From book for both a Transfer Book and an Add Book, a Transfer Out transaction is generated for the Transfer Book. Because this takes care of the cost on the From book, the Add Book does not generate a retirement for that book.

This tables shows that assets that you transfer between books using the Transfer Book action receive a status of Transferred.

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Transfer Out	CORPORATE	Transfer In	Transfer Book
CORPORATE		LOCAL	Add	Add Book

Using a From Book for Two or More Adds

When a From book is used for two or more Add Book actions, a retirement is generated for the first Add Book action. Because this takes care of the cost on the From book, no further retirements are generated for it.

This table shows that the asset that was retired receives a status of Disposed on the From book.

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Retire	CORPORATE	Add	Add Book
CORPORATE		LOCAL	Add	Add Book

Retiring a Book

When an asset is transferred from a business unit with two books to a business unit with more than two books, the asset pulls the additional book’s mapping from the InterUnit Business Unit/Book Definition page and profile.

For example, if you do a transfer from CAN01 (two books - ASSET-CAD/ASSET-USD) to US001, the mapping might be like this:

ASSETS-CAD ------> CORP

ASSETS-USD ------> FEDERAL

ASSETS-USD ------> ACE

ASSETS-USD -------> AMT

Some of the information such as life for the new business unit andbook comes from the profile. The transfer amounts and so on are calculated from the FROM business unit or book, as previously outlined.

Note. When you transfer from a business unit with three books to a business unit with two books, the cost information on the extra From Book is automatically retired. You do not need to enter an action.

This table shows that assets that are retired receive a status of Disposed.

From Book	From Trans	To Book	To Trans	Action
CORPORATE	Transfer Out	CORPORATE	Transfer In	Transfer Book
LOCAL	Transfer Out	LOCAL	Transfer In	Transfer Book
FEDERAL	Retire

Marking Assets Up or Down

Access the InterUnit Proceeds page.

You can transfer an asset from one business unit to another and have the receiving business unit receive the assets at a marked up cost by specifying either a fixed markup cost or a fixed markup percentage. To do so, enter the net markup price in InterUnit Proceeds or the net markup percentage in Mark Up/Down Percent. The default is a positive adjustment. If you want to decrease the price or percentage, you must enter a negative amount. Enter the number of assets in Transfer Quantity.

Note. If you were to enter both an InterUnit proceeds (Price) and a Mark Up/Down percent, the percent will overrides the price.

You can complete a partial transfer and a fixed price markup or markdown by using a two-step method. For example, you may want to do a partial transfer of four computers out of a total quantity of ten computers and mark up the price as well. The first step is to perform an InterUnit transfer for six computers. Complete this transaction, and then do a fixed price markup on the remaining four computers, and transfer them to the new business unit.

Asset Management processes markups in the following ways:

The markup percentage of the asset is specified on the cost of the asset.
The cost of the asset is marked up or down for all the ChartFields in proportion to the original cost distribution of the asset.
You can have the markup affect one or all of the asset's books during the transfer.

The Keep All Books in Sync option for the acquiring business unit controls whether the markup is done on one book or all the asset's books.
The book information for the asset in the acquiring business unit comes from the asset profile that is specified at the time of the sale (on the Cost Information page).

This includes the depreciation method and convention, asset life, and so on.
The selling business unit manages the markup price as proceeds.

Accumulated depreciation is not be passed on to the new business unit.

Selecting a Child Asset for Adjustment or Transfer

Access the Child Assets page.

Note. Parent assets that are created on the Parent Asset page (parent-only assets) do not have cost or basic information. They cannot be viewed in the Parent-Child Basic Information component, nor can they be viewed or transacted against in the Asset Cost/Adjust Transfers component; the Asset Retirements component; or the Parent-Child NBV component. If you want to use a parent asset as a reporting umbrella only and access these pages to manipulate child assets in mass, you should create a zero cost parent asset instead of a parent only asset. Also, to transact against parent and child assets at once, parent and child must share the same asset profile.

Select All

Click Select All to include all child assets with the parent in the transaction that you have initiated.

To include some child assets, select the Selected check box on the specific rows.

Include Parent Asset

Select to include the parent asset in this transaction.

Note. Only child assets available for transfer based on the specified accounting date can be selected. The system compares the last accounting dates for the child assets as specified on the Book table with the accounting date of the current transaction to make this determination.

Entering Child Asset Details

Access the Child Details page.

Convention

Select a depreciation convention.

Quantity or Cost

Enter the quantity or cost to use in this transaction for the child asset. For example, if you were transferring all costs for the parent from one department to another, but wanted to transfer only 500 USD for the child asset, you would enter 500 in Cost.

Transaction Percentage

You can specify a percentage of the child asset’s cost to include by entering it in the Transaction Percentage field.

Transaction Date and Accounting Date

Enter a transaction date or an accounting date if you want it to differ from the dates that you entered for the parent’s transaction.

Adding Advanced Transaction Details

Access the Advanced Transaction Details page.

Select one of these options:

Full Transaction	Applies the full transaction to all child assets. Select this check box when you are partially transferring the parent asset, for example, but want to fully transfer all associated child assets.
Actual Percentage	Enter the percentage of the costs of the child assets to apply to this transaction. For example, if you enter 50 percent, then 50 percent of the costs of all child assets will be included in the transaction even though a different percentage has been specified for the parent asset.
Transaction Amount	Enter a specific amount of the costs of the child assets to apply to this transaction. For example, if you enter 250, USD 250 of the costs of each child asset will be included in the transaction.

Transferring Parent-Child Assets to Other Business Units (InterUnit Transfers) In Mass

Use the Parent-Child IU Transfer (AMPC_IUT_RQST) component to transfer parent-child assets from one business unit to another. The transfer process uses the application engine AM_PARCHD_IU.

This section discusses how to transfer parent-child assets from one business unit to another.

Page Used to Transfer Parent-Child Assets to Other Business Units In Mass

Page Name	Object Name	Navigation	Usage
Parent-Child IU Transfer	AMPARCHDIU_RQST	Asset Management, Asset Transactions, Parent-Child Relationship, InterUnit Parent-Child Trans	Run the AM_PARCHD_IU Application Engine process to transfer Parent-Child assets from one business unit to another.

Transferring Parent-Child Assets from One Business Unit to Another

Access the Parent-Child IU Transfer page.

Unit

Select the business unit from which you are transferring assets.

New Unit

Select the acquiring business unit.

Convention

Select the depreciation convention.

Transaction Date

Enter the transaction date.

Accounting Date

Enter the accounting date for the transaction.

Transaction Code

Identifies which accounting entry template to use for this transaction. Only valid combinations for which accounting entry templates exist are accepted.

Parent Asset

Select the parent asset from which you are transferring assets.

Profile ID

Select an ID that is valid for the new business unit to set up book reporting.

Include Parent Asset

Clear this check box to transfer all or selected child assets at once while leaving the parent asset out of the transaction.

Revaluing Assets In Mass

This section lists the page that you use to revalue assets in mass.

You can run the AMREVAL process to revalue assets in mass that meet the criteria that you specify. To revalue assets in mass, access the Mass Revaluation page.

Page Used to Revalue Assets In Mass

Page Name	Object Name	Navigation	Usage
Mass Revaluation	AMREVAL_RQST	Asset Management, Asset Transactions, Financial Transactions, Revaluation in Mass, Mass Revaluation	Run a process to revalue at once all assets that meet the criteria that you specify. This process loads the interface tables; you must then use the Transaction Loader to populate all the asset tables.

Updating Noncapitalized Costs

This section lists the page that you use to update noncapitalized costs for assets.

Page Used to Update Noncapitalized Costs

Page Name	Object Name	Navigation	Usage
Update Non-Capitalized Costs	ASSET_NON_CAP_UPD	Asset Management, Asset Transactions, Financial Transactions, Update Non-Capitalized Cost	Update noncapitalized costs for an asset.

Viewing Cost History and Summarizing Cost Rows

Use the Review Cost (COST_HISTORY) component to review cost history for capitalized and noncapitalized assets.

Use the Cost Summarization (AM_COST_SUM_RUN) component to summarize cost rows.

This section provides overviews of cost history and cost summarization and discusses how to generate cost summarizations:

Understanding Cost History

PeopleSoft enables you to view cost history of assets online. You can view cost history for both capitalized and noncapitalized assets. Using the Cost History component, you can:

View a history of an asset’s transactions on the Cost History List page.
View detail about a specific transaction on the Cost History Detail page.
View a history of a noncapitalized asset’s transactions on the Non Cap Cost History List page.
View more detail about a specific transaction on the Non Cap Cost History Detail page.

Understanding Cost Summarization

Multiple transactions coming from PeopleSoft feeder systems rapidly create a large volume of cost history lines. Asset Management provides the Cost Summarization process to summarize multiple cost lines that meet certain criteria into a single line. The process uses the Cost Summarization Run component (AM_COST_SUM_RUN). You should run the process only after calculating depreciation (AM_DEPR_CALC) and creating accounting entries (AM_AMAEDIST).

Cost summarization affects cost rows in the Cost table only. No changes are made to the Acquisition Detail table. The fields that are summarized are Cost, Transaction Cost, and Quantity. Cost summarization creates an audit table (AM_COST_SUM_AUD) that contains the original cost rows before summarization.

You can summarize cost rows that have matching values for:

Business unit.
Asset ID.
Book.
Category.
Transaction type.
Chart of accounts, or ChartField.
Cost type.
Transaction code.
Accounting year and period.
Transaction year and period.
Depreciation convention.

Summarization updates the transaction date with the first day in the transaction period for all lines. It updates the accounting date with the last day in the accounting period for all lines. The summarization is then based on the new dates.

The only exception is the actual day (AD) convention.

When the transaction currency code or type differs, cost summarization uses the asset base currency as the transaction currency, and currency type is blank.

Note. You can run cost summarization in streamline mode during the create accounting entry process using the accounting entry component (AM_AMAEDIST).

Pages Used to View Cost History and Summarize Cost Rows

Page Name	Object Name	Navigation	Usage
Cost History List	ASSET_TRANS_01	Asset Management, Asset Transactions, History, Review Cost	View a history of an asset’s transactions.
Cost History Detail	ASSET_TRANS_02	Asset Management, Asset Transactions, History, Review Cost, Cost History List, Detail Click the Detail link on the Cost History List page.	View more detail about a specific transaction.
Non Cap History List	ASSET_TRANS_03	Asset Management, Asset Transactions, History, Review Cost, Non Cap History List	View a history of a noncapitalized asset’s transactions.
Non Cap History Detail	ASSET_TRANS_04	Asset Management, Asset Transactions, History, Review Cost, Non Cap History List, Detail Click the Detail link on the Non Cap History List page.	View more detail about a specific transaction.
Cost Summarization	AM_COST_SUM_RUN	Asset Management, Asset Transactions, Financial Transactions, Cost Summarization	Generate cost summarizations.

Generating Cost Summarizations

Access the Cost Summarization page.

Business Unit	The business unit is required.
Book Name	If this field is blank, the cost summarization applies to all books.
Category	Select a category to apply summarization only to that category. Leave blank to include all categories.
From Asset ID and To Asset ID	Optionally enter a range of asset IDs to apply the summarization to specific assets. The assets that are available belong to the category when category is defined and that have accounting entries already generated. If the To Asset ID field is left blank, the summarization applies only to the asset ID that is specified in the From Asset ID field.
Accounting Date Range	The accounting date range is required for summarization. You can apply cost summarization to multiple books with different calendars. Define the date range according to the books that are selected.

Note. When a line does not meet the criteria to summarize with other lines, no summarization occurs.

Cost summarization creates an audit table so that you can review the summarization details after you have processed the summary.

Updating the General Ledger with Adjustments and Transfers

When you make adjustments or changes that affect your general ledger, Asset Management automatically creates corresponding journal entries that update the applicable accounts in your general ledger. Specifically, journal entries are created when your changes require recalculation or when an asset is transferred. The information that is used to create these journal entries comes from an Accounting Entry template that is set up for adjustments and transfers.

See Also

Defining Accounting Entries

Making General Ledger Journal Entries

Modifying or Deleting Pending Asset Transactions

You can modify or delete financial asset transactions that are pending depreciation. (These are transactions on which depreciation has not yet been run.) You can modify or delete the following pending asset transactions:

Adds
Adjustments
Transfers
Recategorizations

Warning! You cannot modify or delete retirement transactions, leased asset transactions, group asset transactions, joint venture transactions, or parent/child asset transactions.

Note. Regarding the Copy Changes to Other Books option: when you delete an Add transaction, the deletion applies to all books to which the asset reports. However, when you delete Adjustments, Recategorizations, and Transfers transactions, you should review the delete at each book in the scroll area and click the Delete button on each book. Also, if you are using this page only to change the accounting date, transaction date, or transaction code, these changes will apply to all books to which the asset reports. To apply other types of updates to pending transactions, you need to scroll through each book that you want to affect with the modification. No other way is available to affect all books with an update.

Pages Used to Modify or Delete Pending Asset Transactions

Page Name	Object Name	Navigation	Usage
Pending Trans Update/Delete (pending transaction update and delete)	PEND_TRANS_UPD_DEL	Asset Management, Asset Transactions, Financial Transactions, Change/Delete Pending Trans	Update or delete transactions in Pending Transaction table prior to running depreciation processing (AM_DEPR_CALC).
Asset Addition	PEND_TRANS_A1_SP	Click the Update button or the Delete button on the Pending Trans Update/Delete page.	Review detail transaction information and then modify or delete the transaction.
Transaction Information	ASSET_TRNINFO4_SEC	Click the Edit Trans Info button on the Pending Trans Update/Delete page.	Modify the transaction or accounting date.

Modifying or Deleting Pending Transactions

Access the Pending Trans Update/Delete page.

Review the information to make sure that this is the intended transaction that you want to modify or delete.

Click Update or Delete to review transaction information, and then either modify or delete it.

Click Edit Trans Info to edit the transaction date, accounting date, and the Transaction code.

Viewing Asset Transaction Details

Access the Asset Addition page.

Depreciation Status	You can change the status from Depreciable to Non Depreciable.
In Service Date	Captures when the asset was placed in service. You can modify this date.
Accum Depr in Current Pd (accumulate depreciation in current period)	Select if you want any accumulated depreciation for this asset to be booked to the current period. Do not select the check box if you want accumulated depreciation to be booked to the previous period, which you will probably have to reopen. The default setting for this option is disabled, or clear. If you use this check box, remember to select it for each book for the asset transaction that you are modifying.

Asset Transaction Detail

Modify the transaction directly in the cost row or rows.

Only certain fields are available for editing, based on the type of transaction that you are modifying:

Accum Depr (accumulated depreciation)

Add the amount of any depreciation that is already recognized for the asset. If you are adding assets that have depreciation from prior years or prior periods, you can enter the depreciation here if you forgot to enter it when you added the assets, or change it if you added depreciation before but want to change it now.

Transaction Type	Fields You Can Update
ADD	Cost, Quantity, ChartFields, Category, Cost Type, In Service Date, Depreciation Status, Accumulated Depreciation
ADJ	Cost, Quantity
RCT	Category, Cost Type
TRF	ChartFields

Updating Transaction Information

Access the Transaction Information page.

Trans Code (transaction code) is optional. It helps to identify which accounting entry template will be used for this transaction. You can select only those valid combinations for which accounting entry templates exist.

Adjusting for Asset Impairment

Use the Impairment (AM_IMPAIR) component or the CGU Impairment (AM_CGU_IMPAIR_RUN) component to perform impairment testing and create impairment adjustments to assets.

This section provides an overview of impairment testing, lists the pages used for impairment testing, and discusses how to:

Work with the impairment worksheet.
Run the CGU Impairment Batch process.
View and report impairment losses and reversals.

Understanding Impairment Testing

PeopleSoft supports the requirements of International Accounting Standard (IAS) 36 by providing an impairment test worksheet.

A generally accepted principle is that long-lived assets should be subject to some form of recoverable amount constraint, that is, that the carrying amount of an asset does not exceed the amount that is recoverable from the future economic benefits that the asset is expected to generate. When the carrying amount of an asset exceeds its recoverable amount, the asset is described as impaired and the carrying value should be reduced to the recoverable amount. Therefore, assets should be subject to some type of impairment evaluation or test. The purpose of an impairment or recoverable amount test is to identify such assets and ensure that losses of future economic benefits are properly recognized in a timely manner (asset values are reduced in the statement of financial position, and expenses are recognized in the statement of financial performance).

In pursuance of this principle, the International Accounting Standards Board has defined IAS 36, This requires that you ensure that your assets are carried at no more than their recoverable value. IAS 36 provides a list of external and internal indicators of impairment as well as requirements for an impairment assessment strategy and frequency-of-asset impairment review. Only assets that are identified as 'potentially impaired' require an impairment assessment. If you have an indication that an asset may be impaired, then the enterprise is required to calculate the asset's recoverable amount.

Note. To assess whether any assets you have are subject to impairment review, consult the most current published IAS standards.

PeopleSoft also enables the definition of a Cash Generating Unit (CGU) and the association of CGUs with business units to further support impairment testing. Impairment losses can be allocated to individual assets on a CGU basis using the CGU Impairment utility. This batch process allocates CGU impairment data for each asset and stores the details in the PS_INTFC_FIN table. You can also initiate the transaction loader (AMIF1000) to process and update asset tables automatically.

If an organization cannot determine recoverable value for an individual asset, it must identify the lowest aggregation of assets that generate largely independent cash flows. These aggregations of assets are called CGUs. CGUs are defined as the smallest identifiable group of assets that generates cash inflows from continuing use, and are largely independent of the cash inflows from other assets or groups of assets. CGU should be defined consistently from period to period. However, an asset that was previously part of a CGU but which is no longer used, should be excluded from the CGU and assessed for impairment separately.

If you are required to perform impairment evaluation, at a minimum, you should evaluate assets at each balance sheet date. You can test assets or CGUs for impairment at any time.

Impairment processing is enabled at the installation level. Impairments are then processed on assets that are contained within the business unit where impairment processing is selected. You can select asset categories, profiles, books, accounting entry template, CGUs, and individual asset IDs for impairment processing.

To process calculation of impairment, the system compares the following information:

Carrying amount: The net book value (NBV) of the asset as it is currently recorded in the accounts.
Recoverable amount: The higher of an asset's Net Selling Price (NSP) or its Value In Use (VIU):
- The NSP is obtained from the sale of an asset in a bargained transaction between knowledgeable, willing parties with reference to the price of an active market and less the costs of disposal.
- The VIU is the present value of estimated future cash flows that are expected to arise from the continuing use of an asset, and from its disposal at the end of its useful life, (for example, the sum of discounted cash flows).

The impairment worksheet can also apply an index to the carrying cost and calculates the potential NSP/VIU cost. The system compares the carrying amount value to the recoverable amount value to calculate the potential impairment. Any difference is the impairment loss.

An impairment reversal is required when a change has occurred in the estimates that are used to determine the impairment loss. In this case, the carrying amount of the asset is increased to the recoverable amount, where the recoverable amount does not exceed the original carrying amount.

You can also select impairment processing when running the Cost and Depreciation process.

To view impairment loss and reversal, use the Cost and Depreciation Summary page (AM_REPORT1). To generate reports of impairments, use the Asset Impairment report (AM_IMPAIR_RPT_RUN) component.

Note. Impairment testing prescribed by IAS 36 is not required in all countries.

See Establishing Asset Management Business Units.

Pages Used to Make Impairment Adjustments

Page Name	Object Name	Navigation	Usage
Impairment Worksheet	AM_IMPAIR	Asset Management, Asset Transactions, Financial Transactions, Impairment	Select criteria to search for assets that can potentially be impaired, to process potential impairment, and to create loss adjustments automatically.
Cash Generating Unit Definition	AM_CGU_DEFN_01	Click the CGU Details link from the Impairment Worksheet or from the CGU Impairment run control page to view (only) the CGU definition.	Review the CGU definition.
More Filter Options	AM_IMPAIR_CF_SEC	Click the ChartField Search Criteria link from the Impairment Worksheet page.	Filter search criteria by selecting ChartFields: Operating Unit, Fund Code, Department, Program, Class Field, Budget Reference, Product, and Project.
Impairment Comments	AM_IMPAIR_COMMENTS	Click the Impairment Comments link from the Impairment Worksheet OR from the CGU Impairment run control page.	Enter comments about this impairment.
CGU Impairment	AM_CGU_IMP_RUN_CTL	Asset Management, Asset Transactions, Financial Transactions, CGU Impairment	Allocate impairment losses to individual assets on a CGU basis.
Cost and Depreciation	AM_REPORT1	Asset Management, Financial Reports, Cost and Depreciation Summary	View impairment losses and reversals online using the Cost and Depreciation online view.
Impaired Asset Value Report	AM_IMP_RPT_RUN_CTL	Asset Management, Financial Reports, Cost and Depreciation, Asset Impairment	Generate Crystal reports by category or CGU ID of impaired asset values.

Working With the Impairment Worksheet

Access the Impairment Worksheet page.

Enter the asset search criteria and impairment information.

Business Unit	Select the business unit (required). The business unit is supplied from the search dialog box.
Book Name	Select the book name (required). The Book Name field is initially supplied by the default book (when the book is enabled for impairment processing). The valid values include only books for which impairment processing enabled.
Asset Category	Select the asset category to search for assets by category. The valid values include only categories for which impairment processing is enabled.
Location	Select the asset location to search for assets by location. The valid values include only locations for which impairment processing is enabled.
Cash Generating Unit	Select from the valid CGUs for this business unit, book, profile, or category if you want to impair at the CGU level.
Profile ID	Select the asset profile ID to search for assets by profile. The valid values include only locations for which impairment processing is enabled.
From Asset ID and To Asset ID	Select an asset ID or a range of asset IDs to be included.
NSP Percentage (%) (net selling price percentage)	Apply and enter a net selling price percentage to determine the actual NSP. Net selling price is the amount that is obtainable from the sale of an asset in a bargained transaction (between knowledgeable, willing parties), less the costs of disposal. For example, suppose the net book value of an asset is 10,000.00 USD. But the NSP is equal to 8,000.00 USD. The NSP percent is equal to 80 percent.
Copy Impairment to other books	Select if you want the impairment carried over to other books.
VIU Percentage (%) (value in use percentage)	Enter the value in use percentage that you expect to determine the actual VIU amount. Value in use is the present value of estimated future cash flows that are expected to arise from the continuing use of an asset, and from its disposal at the end of its useful life. For example, suppose the net book value of an asset is 23,500.00 USD. But the VIU is unknown. You can apply a percentage that you expect , such as 70 percent, and the system will calculate the actual amount to be 16,450.00 USD.
Impairment Reversal	Select if the potential impairment is a reversal of a prior impairment adjustment. Note. This option appears only if impairment reversal is enabled for the business unit.
Accounting Date	Enter the accounting date of the impairment.
Convention	Select the depreciation convention. The valid values are derived from those that are defined for the business unit.
Impairment Strategy	Select the impairment strategy. Valid values are: Asset and CGU. Asset: If asset is selected, the system makes the impairment adjustment asset by asset. CGU: If CGU is selected, the system calculates the adjustment to the whole CGU as a body. Impairment is based on all assets that are part of CGU definitions. If CGU is selected, then a cash generating unit must be provided. The CGU field in the search criteria section is only used to find out specific groups but it does not say what kind of impairment will apply to them.
Frequency	Select the frequency for performing the impairment test. the options include Yearly, Semiannually, Quarterly, Monthly, and Other
Impairment Date	This is the transaction date on which the system calculates carrying cost (NBV). The depreciation for the impairment month is included in the NBV calculation. For example, if the impairment date is between December 12, 2003 and December 12, 2003, period 12 is included in the accumulated depreciation for the calculation: NBV=Cost-ACCUM
Exclude Assets Impaired After	Enter the dates to exclude more recently impaired assets.

Retrieve Assets for Impairment

When you are finished entering search criteria and impairment information, initiate the retrieval process. On completion, the Search Criteria group box collapses. The Impairment Information group box is visible, but unavailable for entry. You can initiate a new search or refine search of your returned results.

The results of the assets matching the criteria that are entered are displayed in the Asset Search Results grid on the worksheet. The grid contains two tabs:

Impairment Information
Asset Details

Use the buttons to mark assets to be impaired and assets not to be impaired, to remove assets from the list, and to refresh the page.

Note. Selected assets must already have been processed for depreciation or included in the load depreciation report table process before they are available to be reported in the impairment worksheet.

Impairment Information

Access the Impairment Information tab.

This tab enables you to select or exclude selected assets for impairment.

Mark	When you click the Check button, you will select all assets in the list. Use Mark to select the line.
Mark to Impair	Click Mark to Impair and the system will set Impair Status toImpair for all selected rows.
Mark to Not Impair	Click Mark to Not Impair and the system will set Impair Status to Don't Impair for all selected rows.
Remove From List	Click Remove From Listto remove selected rows from Asset Search Results.
Refresh	Click Refresh to recalculate all impairment information.
Impair Status	Displays the status of selected assets to be impaired or not to be impaired. Impaired assets will be inserted into PS_INTFC_FIN table and Impairment audit tables. Not impaired assets will be inserted into the impairment audit tables.
Asset ID	Displays the asset ID for all assets meeting the search criteria.
Carry Cost (NBV)	Displays the current carry cost (net book value) of the asset.
NSP%	Displays the net selling price percentage that is applied to the carry cost.
NSP Amount	Displays the NSP as an amount in the base currency.
VIU%	Displays the value in use percentage that is applied to the carry cost.
VIU Amount	Displays the VIU as an amount in the base currency.
Impairment Loss	Displays the calculated impairment loss, usually the disposal cost. Impairment loss = NBV- (greater than NSP or VIU)
Revaluation Reversal	If this asset had a revaluation before, you need to reverse the revaluation before you allocate the loss.
Carry Cost (Impairment)	The remaining amount that is attributable to prior impairment loss.
Carry Cost (Revaluation)	The remaining amount that is attributable to prior impairment reversal.

When you have reviewed and selected assets to be impaired, save the worksheet. The saving process performs the following tasks:

The system creates a cost adjustment (with user define impairment loss cost type) for the impairment loss.
The system creates a cost adjustment (user defined impairment reversal cost type) for the impairment revaluation reversal.
The transaction date and the impairment date are inserted and is the same for this transaction.
If you do not provide an accounting date, the system looks for the last day of the open period and books the transaction against that date. This date is validated against the open period.
The system commits all validations at the time of the save.
Upon saving the worksheet, the system places the actual adjustment in the staging table PS_INTFC_FIN.

The system loads the adjustment in the main asset tables when the transaction loader (AMIF1000) is run.
The system automatically triggers the transaction loader (AMIF1000) to load the transactions if this option has been selected.
The system validates that the impairment date is less than or equal to the accounting date.
When the impairment reversal box is checked, the system processes impairment reversal instead of impairment loss.

Running the CGU Impairment Batch Process

Access the CGU Impairment page.

Complete the applicable fields. When satisfied with the criteria, click Run. The batch process allocates CGU impairment data to each asset.

Request

Business Unit	Select the business unit (required). The business unit is supplied from the search dialog box.
Book Name	Select the book name (required). The book is initially supplied by the default book (when the book is enabled for impairment processing). The valid values include only books for which impairment processing is enabled.
Currency Code	The currency code as defined for the Book.
CGU ID	Select from the valid CGUs for this business unit, book, profile, or category if you want to impair at the CGU level.
Exclude Assets Impaired After	Enter dates to exclude more recently impaired assets.

Impairment Information

Impairment Date	Enter the date of the asset impairment. This is the transaction date on which the system calculates carrying cost (NBV). The depreciation for the impairment month is included in the NBV calculation. The system uses the current date by default.
Impairment Strategy	CGU: Impairment based on all assets that are part of CGU definitions. The impairment strategy CGU appears by default when you are processing impairment in batch mode.
Copy Impairment to other books	Select if you want the impairment carried over to other books. Asset Management copies the impairment amount to other books in the ledger group as long as the Keep Ledgers in Sync (KLS) option is selected. If the option Copy to Other Books is checked, Asset Management copies the same amount to the books with impairment amount selected, for books that do not point to the ledger group. Depending on these the selection of these options, when Copy Zero Impairment Rows is checked, then the system copies zero impairment data in all the remaining books. For example: Suppose you have a business unit with 6 books (A, B, C, D, E, F), with the first three books, A, B and C pointing to a ledger group, the ledger group is synchronized with the general ledger business unit and book B is pointing to the primary ledger. But the other three books, D, E and F do not point to general ledger and books A, B, C, and E have the impairment option enabled. Asset Management processes impairment loss against the primary book B. Then the system copies the impairment loss to book A and book C because they are in the same ledger group regardless of the status of the optionsCopy to Other Books and Copy Zero Impairment Rows . If Copy to Other Books is selected, the system copies the same impairment loss to book E because the impairment option is selected for that book. If the Copy Zero Impairment Rows option is selected, the system copies zero impairment loss into book D and F. If theCopy to Other Books option is not selected and he Copy Zero Impairment Rows option is selected, the system copies zero impairment rows to books D, E and F. When both options are not selected, the system doesl not copy any impairment row to books D, E and F. See Defining Asset Management Installation Options. See Creating Asset Management Cash Generating Units.
Accounting Date	Enter the accounting date of the impairment.
Impairment Frequency	Select the frequency for performing the impairment test. The options include Yearly, Semiannually, Quarterly, Monthly, and Other
Impairment Reversal	Select for the system to process impairment reversal instead of impairment loss. Click the Calculate button to compute the net book value, prior impairment loss, and prior revaluation reversal. Click the Calculate Impairment Loss button to calculate the total impairment loss. Note. This option is available only if impairment reversal is enabled for the business unit.
Convention	Select the depreciation convention. The valid values are derived from those that are defined for the business unit.

Carrying Values

The NBV is the equivalent to the carrying value.

Click the Calculate button to retrieve the current NBV for the selected assets.

Net Selling Price

NSP Percentage (%) (net selling price percentage)

Enter the net selling price percentage.

For example, suppose the net book value of an asset is 10,000.00 USD. But the net selling price (NSP) is equal to 8,000.00. The NSP percent is equal to 80 percent.

Net selling price is the amount obtainable from the sale of an asset in a bargained transaction (between knowledgeable, willing parties), less the costs of disposal.

NSP Amount (net selling price)

Enter the net selling price amount.

Value In Use

VIU % (value in use percentage)

Enter the value in use percentage.

Value in use is the present value of estimated future cash flows that is expected to arise from the continuing use of an asset, and from its disposal at the end of its useful life.

For example, suppose the net book value of an asset is 10,000.00 USD. But the VIU is equal to 7,200.00 USD. The VIU percent is equal to 72 percent.

VIU Amount

Enter the value in use amount. Value in use is the present value of estimated future cash flows that are expected to arise from the continuing use of an asset, and from its disposal at the end of its useful life.

Click the Calculate Impairment Loss button to compute total impairment loss.

View and Report Impairment Losses and Reversals

This section discusses how to view and report impairment losses and reversals.

Viewing Impairment Loss Online

Access the Cost and Depreciation page.

Use the Cost and Depreciation online view to review impairment transactions. Search by business unit required, book name, and fiscal year (all required) or search by selected secondary ChartField criteria.

Reporting Asset Impairment Activity

Access the Impaired Asset Value Report run control page.

Enter the report criteria for the report. You can have the report output sorted by asset category or by asset CGU ID. You can see the Crystal report formats in the Reports appendix.

The business unit, impairment strategy and impairment date are required for the report.

Note. The user must run the load depreciation report process for the dates on which he or she plan to evaluate the assets or CGU in order to perform the impairment.

See Asset Management Reports.

Transaction Date and Accounting Date	Displays the current date or the dates that are specified as operator defaults. As a rule, transactions are entered in Asset Management some time after they have occurred. Any difference between accounting and transaction dates will affect depreciation as well as posting. See Adding and Maintaining Asset Information.
Transaction Code	(Optional) Select a code to help identify which accounting entry template to use for this transaction.
Rate Type	Enter the currency exchange rate type to use for this transaction.
Copy Changes to Other Books	Select to copy the changes that you make to other books.
Adjust Other Books by	Select to adjust the other books by Amount or Percent. Select Percent to transfer a percentage of the amount from subsequent books. For example, suppose you have an asset with two books, Corporate and Federal. The cost amount for Corporate is 5000.00 USD and is 4000.00 USD for Federal. If you transfer 2500.00 USD from the Corporate book, select Copy Changes to Other Books, and then specify the Percent option. 2500.00 USD will be transferred from the Corporate book and 2000.00 USD will be transferred from the Federal book. If you select Amount, a transfer of 2500.00 USD from both books will occur. If you have a multicurrency business unit, the Amount option will be overridden by Percent when you transfer or recategorize an asset. Note. If you do not select the Copy Changes to Other Books option, when the book that you are changing is associated with a ledger group that contains multiple ledgers, and the Keep Ledgers In Synccheck box is selected for the ledger group, changes will be copied to other books that associated with the same ledger.
Include Convention	The options are to Exclude or Include a depreciation convention. The depreciation convention automatically displays AM (actual month) for all transactions. If you choose to have the convention included, the convention will be copied to all books. If you choose to have the convention excluded, the convention will not be copied to all books. You can override each book separately at the transaction level also.
Action	Select the financial transaction to be performed. Select an action and click the GO! button: Addition: Adds an adjustment cost line with transaction type of ADD as a result of alternate or multiple funding sources, and so on. This option works the same as Adjustment, except that the transaction type in the cost table will be ADD instead of ADJ. If you use multiple currencies to track asset transactions, access toTransaction Currency fields for Adjust All Rowsand Adjust Current Row Byare available. When you click Apply, these fields are unavailable for entry. The transaction cost is converted to the base cost and added to the total cost of the asset. Exchange rates cannot be viewed from this component. Adjustment: Adjusts the cost or quantity of an existing row and adds a line with a transaction type of ADJ. If you use multiple currencies to track asset transactions, access toTransaction Currency fields for Adjust All Rowsand Adjust Current Row By are available in this activity. When you click Apply, these fields are unavailable for entry. The transaction cost is converted to the base cost and added to the total cost of the asset. Exchange rates cannot be viewed from this component. Fixed Price MarkUp: Applies a markup to the asset that you are transferring. Transaction Currency fields are unavailable for enter for this activity. InterUnit Transfer: Transfers an asset from one business unit to another with different legal entities. Transaction Currency fields are unavailable for entry for this activity. Recategorize: Changes an asset category or cost type. Asset Categories classify assets by type for accounting entry purposes. Transaction Currency fields are unavailable for entry for this activity. Revaluation: Revalues an asset by percentage. Revaluation occurs as a result of a monetary revaluation or to account for inflation and is prescribed by a governmental entity. This value is used mostly in countries with high rates of inflation. Transaction Currency fields are unavailable for entry for this activity. Transfer: Transfers an asset within the same business unit. For example, you can make a transfer between two departments or two operating units as an intraunit transaction as opposed to a transaction between two distinct and separate business units, or an interunit transaction.Transaction Currency fields are unavailable for this transaction.

Convention	Select a depreciation convention.
Quantity or Cost	Enter the quantity or cost to use in this transaction for the child asset. For example, if you were transferring all costs for the parent from one department to another, but wanted to transfer only 500 USD for the child asset, you would enter 500 in Cost.
Transaction Percentage	You can specify a percentage of the child asset’s cost to include by entering it in the Transaction Percentage field.
Transaction Date and Accounting Date	Enter a transaction date or an accounting date if you want it to differ from the dates that you entered for the parent’s transaction.

Unit	Select the business unit from which you are transferring assets.
New Unit	Select the acquiring business unit.
Convention	Select the depreciation convention.
Transaction Date	Enter the transaction date.
Accounting Date	Enter the accounting date for the transaction.
Transaction Code	Identifies which accounting entry template to use for this transaction. Only valid combinations for which accounting entry templates exist are accepted.
Parent Asset	Select the parent asset from which you are transferring assets.
Profile ID	Select an ID that is valid for the new business unit to set up book reporting.
Include Parent Asset	Clear this check box to transfer all or selected child assets at once while leaving the parent asset out of the transaction.