Methods Tab of Asset Management Configuration

Asset Management includes the ability to process depreciation and amortization for asset items from the Equipment Info Center. Use the Methods tab to configure the methods that are available for your firm when processing depreciation. The depreciation method defines how the costs of assets are distributed, based on time or use.

Vision defaults to using the straight-line method of depreciation. However, you can add other methods and their respective calculations as needed. Depreciation and amortization are normally processed on a monthly basis.

If you run depreciation and then change an asset's depreciation method, there may be discrepancies or changes with the calculated depreciation. If this happens, Vision displays a warning message to alert you of the condition.

Contents

Depreciation Methods Grid

Use this grid to enter the depreciation methods that your firm will apply. The options that you enter in this grid and select as In Use display in the Methods drop-down list on the Asset Type tab of this form.

Field	Description
Depreciation Methods Drop-down	Click the drop-down arrow on a grid header to complete any of the following actions: To print grid data, click Print. On the Print Preview form, click File > Print to send the grid data to your default printer. To export grid data to an Excel spreadsheet, click Export to Excel. When Microsoft Excel opens, use its features to modify, print, or email the grid data, or to save the spreadsheet file locally. To turn on grouping for a grid, click Enable Grouping. When a field displays with the instruction: "Drag a column header here to group by that column," drag and drop column headers into the field, in the sequence that you want them to display. Not all options are available on all grids.
Insert	Click this option to open a new blank row in the grid and then complete the fields in the row to enter a new depreciation method.
Delete	Select the row to delete and then click this option to remove the depreciation method.
Code	Enter the code for the depreciation method, such as SY for Sum of Years or NC for No Calculation. The code displays in the Methods drop-down list on the Asset Type tab of this form.
Description	Enter a description for the depreciation method. This description displays in the Method drop-down list on the GL Book tab in the Equipment Info Center.
Useful Life in Years	This option determines how many periods, in total, should be applied to the depreciation method. For the straight-line method, you can modify this number on the Asset Type tab. For all other types of depreciation methods, you can only modify the useful life in years here, on the Methods tab. The number of periods determines the number of grid rows that are entered on the Secondary grid on this tab. Use this information to specify the periods and percentage for the depreciation method. Vision applies this to the GL Book tab in the Equipment Info Center.
Recovery Years	This option determines how many periods, in total, should be applied to the depreciation method. Vision defaults to the number that you enter in the Useful Life in Years column. You can edit this number as follows: Useful life plus 1 Useful life plus 2 For example, if the Useful Life in Years is 5, the Recovery Years can be 5, 6, or 7. The number of recovery years that you specify also determines the number of grid rows in the Secondary grid on this tab.
In Use	Select this option for each method that you want to display in the Depreciation Method drop-down list on the Asset Type tab of this form. If this option is cleared, the depreciation method is not available for selection. You cannot disable the straight-line method. You can only delete a depreciation method that is not already assigned to an asset on the Asset Type tab. If the depreciation method is assigned to an asset, you must first clear the In Use option on the depreciation method's row.

Secondary Grid

This grid's heading is dynamic, based on the type of depreciation method that you select in the Depreciation Methods grid. Use this grid to specify the periods and percentage for each depreciation method.

Field	Description
Straight-line Drop-down	Click the drop-down arrow on a grid header to complete any of the following actions: To print grid data, click Print. On the Print Preview form, click File > Print to send the grid data to your default printer. To export grid data to an Excel spreadsheet, click Export to Excel. When Microsoft Excel opens, use its features to modify, print, or email the grid data, or to save the spreadsheet file locally. To turn on grouping for a grid, click Enable Grouping. When a field displays with the instruction: "Drag a column header here to group by that column," drag and drop column headers into the field, in the sequence that you want them to display. Not all options are available on all grids.
Year	This field displays the sequential number of the year: 1, 2, 3, 4, and so on. The number of rows that displays in this grid is based on the number of Recovery Years that you enter in the Depreciation Methods grid.
Periods	This field defaults to display the value entered in the Asset Periods per Year field on the General tab of this form. Vision calculates the total value for the associated year and spreads the amount over the number of defined periods. You can modify this value. For example, if you need to use a half year convention for an asset with a useful life of three years, you can define the first year to be 6 months, the second year to be 12 months, the third year to be 12 months, and the fourth year to be 6 months. The sum of the number of periods entered displays in the Totals row at the bottom of the grid. If the number of periods on the General tab does not match the sum entered on this grid, Vision displays the following warning: The total number of periods does not match the useful life time X asset periods per year.
Percentage	Enter a percentage for each depreciation amount. The sum of the percentages entered displays in the Totals row at the bottom of the grid. This sum of all rows should total 100.