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Impairment Fixed Asset

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Posted on by Ethan Ong

Accounting requirements require some assets to revalue to loss due to actual reduction in capacities or damage to assets. As such these asset value should be revalue down which is deemed to be impairment.

In this instance, both costs and its current depreciation which be adjusted accordingly. What function can we use to carry such function? Can we use Revaluation of Fixed Assets? Or Just standard Fixed Asset Journals?

I do notice there is posting profile for these adjustment value of fixed assets but I am not sure which function it's related to this posting profile.

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Ludwig Reinhard Microsoft Employee on at

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RE: Impairment Fixed Asset

Hi Pankaj Azad,

write up/write down adjustments will change your NBV and affect future depreciations.

Does this answer your question?

Best regards,

Ludwig

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Community Member on at

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RE: Impairment Fixed Asset

Hi Sir,

Please do also provide info on depreciation postings after write up/down adjustments.... how system will treat further month's depreciation (Including NBV)...

thanks,

Pankaj

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Ethan Ong on at

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RE: Impairment Fixed Asset

Thanks for helping me to recall.

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Ludwig Reinhard Microsoft Employee on at

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RE: Impairment Fixed Asset

Hi lally,

From a "technical" AX perspective there is no difference between those posting types. From an accounting perspective the difference in those posting types define where the transaction shall be included in your fixed asset statement report. AX does not have special functionalities attached to those types. As a result you / your colleagues are free using those posting types for differentiating fixed asset transactions as required e.g. by local accounting standards. I do not have a special example for that but believe that you can imagine how those posting types can be used.

Hope it helps,

Ludwig

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lally 2 on at

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RE: Impairment Fixed Asset

Hi Ludwig ,

What is the difference between wriup/writedown and Revaluation ?

Can you explain with an example ?

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André Arnaud de Cal... 297,339 Super User 2025 Season 2 on at

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RE: Impairment Fixed Asset

Hi Ethan,

You can use an Asset journal for this. Then you can specify which posting type you want to use.

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Ludwig Reinhard Microsoft Employee on at

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RE: Impairment Fixed Asset

Hi Eaton,

You can use the fixed asset posting types write up/down adjustment or revaluation. There is no additional function behind meaning that you have to calculate yhe amount to be posted yourself. For the posting you can use ordinary fixed asset journals. Hope it helps,

Ludwig

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