Can you add sub-accounts or components for Fixed Assets because sometimes Fixed Assets have components.
No. But you can create a custom control account made up of several fixed assets (which could be the components).
Or create two fixed assets and use custom fields to link them as components of one assets. You could also use a coding system that allows two fixed asset to be reported as components.
Good question and maybe should be turned intoi an idea we can vote for, ie “…can we have a more granular way to manage assets with main assets and components that can be written off seperately?..”
I usually manage like this after doing lot of experiments, but then I thought that if there would be components or sub accounts, we can easily manage fixed assets like that. That’s why I ask for sub accounts or components.
Dear Tut, it is a good idea to have sub assets as in this way other functions like depreciation calculation will be easy. Please look into it and create this facility of sub asset of any main assets.
Creating Custom account will not have inbuilt benefits of system like disposal of fixed assets etc.
@CEOHaaks, I strongly disagree. The prospect of separately depreciating components of a single asset and combining that into a unified whole would become terrifyingly complex. It would also contradict regulations in at least some jurisdictions.
Can you provide an example of a use case where this would simplify anything?
Dear Sir, the example is as under=-
If we have a building it will have many components like grey structure, electric appliances, machinery, HVAC etc etc. Now we have to create each as fixed assets at cost, but if we can have main asset as Building and then all above can be sub assets. I hope I have explained my view point.
Dear thanks for guidance, will note for future, please.
I am sorry, @CEOHaaks, but your example doesn’t justify your request. All those categories of assets would have different economic lives, so they would need to be separately depreciated anyway.