How to: Manage Budgets for Fixed Assets

You can set up budgeted fixed assets. For example, this lets you include anticipated acquisitions and sales in reports.

To prepare your budgeted income statement, budgeted balance sheet, and cash budget, you need information about future investments, disposals and depreciation of fixed assets. You can get this information from the Fixed Asset - Projected Value report. Before you print this report, you must prepare the budget.

Note

This functionality requires that your experience is set to Suite. For more information, see Customizing Your Financials Experience.

To budget the acquisition cost of a fixed asset

To prepare a budget, you have to set up fixed asset cards for fixed assets that you intend to buy in the future. The budget fixed assets are set up as ordinary fixed assets, but it must be set up to not post to the general ledger.

When you post the acquisition cost, you enter the number of the budgeted fixed asset in the Budgeted FA No. field. This will post an acquisition cost with an opposite sign for the budgeted asset. This means that the total acquisition cost on the budgeted asset is the difference between the budgeted and the actual acquisition cost.

  1. Choose the Search for Page or Report icon, enter Fixed Assets, and then choose the related link.
  2. Choose the New action to create a new fixed asset card for the budgeted fixed asset.
  3. Select the Budgeted Asset check box to prevent posting to the general ledger.
  4. Fill in the remaining fields, assign a depreciation book, and then post the first acquisition cost with the budgeted fixed asset entered in the Budgeted FA No. field on the journal line. For more information, see How to: Acquire Fixed Assets.

To budget the disposal of a fixed asset

If you plan to sell assets within the budget period, you can enter information about sales price and sales date.

  1. Choose the Search for Page or Report icon, enter Fixed Assets, and then choose the related link.
  2. Select the fixed asset to be disposed of, and then choose the Depreciation Books action.
  3. In the FA Depreciation Books window, fill in the Projected Disposal Date and Projected Proceeds on Disposal fields. Choose a field to read a short description of the field or link to more information.

To view projected disposal values

To see the projected disposal values and have the gain and loss calculated, you can use the FA Projected Value report.

  1. Choose the Search for Page or Report icon, enter FA Projected Value, and then choose the related link.
  2. Fill in the fields as necessary.
  3. Choose the Print or Preview button.

To budget depreciation

You can use the Fixed Asset - Projected Value report to calculate future depreciation. The report shows the book value and accumulated depreciation at the start of the selected period, changes during the period, and the book value and accumulated depreciation at the end of the selected period.

  1. Choose the Search for Page or Report icon, enter FA Projected Value, and then choose the related link.
  2. Fill in the fields as necessary.
  3. To see total values for all assets, clear the Print per Fixed Asset check box.
  4. Leave the Fixed Asset FastTab blank to have all assets included. In the Budgeted Asset field, enter No to exclude budgeted assets or Yes to see budgeted assets only.
  5. Choose the Print or Preview button.

See Also

Fixed Assets
Setting Up Fixed Assets
Finance
Welcome to Dynamics 365 for Financials
Working with Financials