Adding Fixed Assets Entry
Assets:
They are the economic resources owned by the organization that can be measured in terms of accounting. Or they are the property of the organization of material value and future benefit to the organization. Assets are divided into:
Fixed assets:
The property acquired to use it and not for reselling it, as it is used in carrying out the activities of the organization and its useful life extends to several fiscal years, and its shape often does not change throughout its useful life, such as land, buildings, machines, and cars.
Current Assets:
They include cash and other assets that are expected to be converted into cash, sold, or used during the fiscal year such as cash current assets, short-term investments, customers, notes receivables, inventory, prepaid expenses, and accrued revenues.
Intangible Assets:
Property or rights that do not have a tangible existence or physical entity but are of value or benefit to the organization such as goodwill and patent rights.
Notice: Asset accounts are always considered (debit) when they are increased and if they are decreased, they become (credit).
How to add a fixed asset:
1- From the “Accounting” drop-down list, click on “Manual Journal Entries”.
2- You will be automatically directed to the “Manual Journal Entries” page, where you can see all the entries that have been added in Qoyod by the user. At the top right of the page, there is the “+ New Manual Journal Entry” icon.
3 – To add an asset, the asset account must be specified, as there are previously added accounts in Qoyod, which are: Cash account, bank account, debtors account, inventory, land, buildings, equipment, machinery, furniture, computer equipment. To add a new account, click on “+ New Account”.
You will see fields for creating a new “Manual Journal Entry” where you can:
Write the “Description” and set the “Date”.
Select the account “Equipment” and type in the amount in the upper “Debit” field. Select the account in the second row whether “Cash” or “Bank”, and type in the amount in the lower “Credit” field. (The amounts of the debit and the credit must be equal to complete the process).
Type in any comments on the entry in the rightmost fields.
By clicking on “Save”, the account will be added.
Notice: You must verify the correctness of the entries in the “Manual Journal Entries” as they are reflected in the financial statements.