- Fixed Asset Depreciation
- Fixed Asset are not linked with ledgers
I think the stock reconciliation thing does not work with the serialized inventory. Now I would like to know that how should a organisation manage its Fixed Assets especially when they are serialized inventory
Use Case: Organisation buys “VEHICLES”, I have created a fixed asset Item Code = Vehicles. This item code is a Fixed asset as well as Serialized since I thought it would be good to make one item code for all vehicles and put them as serialized inventory (maybe its not supposed to be this way, then do let me know how to manage them.)
Then when I want to depreciate the item then I tried to create a Stock Reconciliation for the same but I was denied this
as Stock Reconciliation is not allowed for serialized inventory.
Now why can’t I create a Item Code vehicles without serialized inventory is because of this scenario:
- Buy vehicle for 10000 on 01-Jan-2000
- Depreciate by amount of 1000 on 31-Mar-2000 and for 10 years every year (Straight Line Method:SLM)
- Buy another vehicle for 50000 on 01-Jan-2001
- For the second item the depreciation would be 5000/- per annum for the next 10 years
Now if I make only 1 item code then there would not be any way to find the value of the individual item in that item code and in case of Fixed Asset there is always a need to know the value of each individual item since we can sell each item separately.
This hold true for Fixed Assets like Machines, Computers but may not be applicable for Fixed asset items like Furnitures or Fixtures etc.
So my query is that how should I manage my Fixed Assets in ERPNext if the Depreciation method is SLM.