MoneyWorks Manual
Overview
The asset register maintains a list of assets and relevant details about each asset, such as purchase date and price. When an asset is purchased, and the transaction is entered either as a payment or supplier invoice in MoneyWorks, an entry about that asset can be automatically created in the register. Alternatively, assets details can be entered directly into the asset list or imported in bulk.
Each asset is allocated to an Asset Category, such as "Furniture and Fittings" or "Motor Vehicles", and will inherit the default depreciation type and rate associated with that category (this can be over-written for an individual asset). Asset Categories need to be set up before you can enter any asset details. These categories are also used for reporting purposes.
Note: You should check with your accountant or local tax authority as to what are the allowable depreciation types and rates for asset categories in your jurisdiction.
You can periodically do a "Depreciation Run", which calculates the depreciation for the assets based on their current value, depreciation rate and type. Assets can also be revalued (either up or down).
When an asset is finally sold or otherwise disposed of, there is often a discrepancy between the depreciated value of the asset and the realised value. MoneyWorks will put in the appropriate accounting entries for this "Gain or Loss on Asset Disposal".