12.4Adding an asset

Chapter 12 · Fixed Assets·1 min read

Fixed Assets → Assets → New asset asks how the business got it:

ChoiceUse it forWhat it records
BoughtA purchase from a vendor, paid now or owed.The vendor's bill, the assets, and the payment if paid at once.
Already ownedAssets in use before your books started here.The asset with its opening balance and the depreciation already taken.
Built over timeA building, fit-out or machine assembled in-house.An asset whose bills, stock and other costs collect until it is finished.
OtherA gift or an asset transferred in.The asset; what paid for it is named when it is put in use.

A bill entered in Purchases on a fixed-asset account creates the asset too (Chapter 6): the line's cost becomes a Pending asset linked to the bill, and editing or voiding the bill moves the asset with it.