Adjusting, Transferring, and Evaluating Assets

This chapter provides an overview of adjusting, transferring, and evaluating assets and discusses how to:

• Adjust cost and transfer assets.

• Transfer parent-child assets to other business units in mass.

• Revalue assets using the Revaluation Worksheet.

• Revalue assets in mass.

• Capture and maintain asset fair value (FV).

• Update noncapitalized costs.

• View cost history and summarize cost rows.

• Update the general ledger with adjustments and transfers.

• Modify or delete pending asset transactions.

• Adjusting for asset impairments.

Understanding Adjusting, Transferring, and Evaluating Assets

Periodically, it is necessary to make changes to asset records to correct errors or add newly received information. You can modify any information that has been entered about assets, including cost, market value, quantity, depreciation rules, location, physical attributes, and so on.

Sometimes adjustment and transfer changes have a financial or tax impact. Changes to physical information about an asset, such as its weight, do not affect cost or depreciation. However, changing quantity, cost, depreciation attributes, or department affect your financial and tax books.

In compliance with accounting standards, many companies must carry assets at fair value. As a result, frequent revaluation of assets may be necessary, depending on requirements. PeopleSoft Asset Management provides a revaluation worksheet to facilitate potentially frequent revaluation of one or multiple assets using the Cost Based or Depreciation Write-off methods of revaluation. Additionally, you have the option of using the Revaluation in Mass process where the Net Method of revaluation is available, as well as the other two methods. These tools provide the capability to properly deal with the depreciation distribution between original cost and revalued basis

You must also be able to undertake an effective impairment test cycle for assets on at least an annual cycle at the balance sheet date depending on business industry and location. PeopleSoft Asset Management provides an impairment evaluation process that allows you to assess potential impairment of user-defined asset selections. The impairment worksheet enables you to enter recoverable amounts and automatically calculates potential impairment losses. Subsequent to this review, the impairment worksheet generates the associated accounting entries to enable you to recognize these adjustments in your accounting system. This process eliminates manual steps and minimizes accounting errors.

PeopleSoft supports the ability to maintain asset histories. Information on a per-asset basis is available within each record. Cost summary reporting and asset component hierarchy history reporting are both also available.

Adjusting Cost and Transferring Assets

This section provides an overview of cost adjustments and asset transfers and discusses how to:

• Define asset transactions.

• Enter cost information for transactions.

• Specify transfer to/from books information

• Mark assets up or down.

• Select a child asset for adjustment or transfer.

• Enter child asset details.

• Add advanced transaction details.

See Also

Creating Parent-Child Asset Relationships

Understanding Cost Adjustments and Asset Transfers

To adjust cost and transfer assets:

• Select the type of transaction, enter accounting and transaction dates, and specify the transaction data that is required to update the general ledger.

• Make the actual adjustments or cost entries.

• Select some, none, or all child assets to include in the transaction that you are performing. The Child Assets page appears only when the asset you are transacting against is a parent asset and the transaction type is a transfer. A separate Application Engine process is provided for transferring parent-child assets between business units.

  Note. Adjustments to parents do not automatically filter down to the child assets; therefore, the Child Asset page does not appear for adjustments. Instead, add another child asset. A reminder message will appear stating that child assets are associated with the parent asset that you are adjusting.

• Use the Pending Transaction page for workflow processing.

• If you have changed information in a book that posts to your general ledger, PeopleSoft Asset Management generates the appropriate accounting entries when you run Create Accounting Entries (AM_AMAEDIST) or Depreciation Close (AM_DPCLOSE). The asset account is updated when you generate and post the journal entries.

See Also

Defining Accounting Entries

Pages Used to Adjust Cost and Transfer Assets

Defining Asset Transactions

Access the Main Transaction page (Asset Management, Asset Transactions, Financial Transactions, Cost Adjust/Transfer Asset).

Transaction Date and Accounting Date	Displays the current date or the dates that are specified as operator defaults. As a rule, transactions are entered in PeopleSoft Asset Management some time after they have occurred. Any difference between accounting and transaction dates will affect depreciation as well as posting. See Adding and Maintaining Asset Information.
Transaction Code	(Optional) Select a code to help identify which accounting entry template to use for this transaction.
Rate Type	Enter the currency exchange rate type to use for this transaction.
Copy Changes to Other Books	Select to copy the changes that you make to other books.
Transfer Other Books by	Select to transfer the changes that you make to other books by Amount or Percent.
Adjust Other Books by	Select to adjust the other books by Amount or Percent. Select Percent to transfer a percentage of the amount from subsequent books. For example, suppose you have an asset with two books, Corporate and Federal. The cost amount for Corporate is 5000.00 USD and is 4000.00 USD for Federal. If you transfer 2500.00 USD from the Corporate book, select Copy Changes to Other Books, and then specify the Percent option. 2500.00 USD will be transferred from the Corporate book and 2000.00 USD will be transferred from the Federal book. If you select Amount, a transfer of 2500.00 USD from both books will occur. If you have a multicurrency business unit, the Amount option will be overridden by Percent when you transfer or recategorize an asset. Note. If you do not select the Copy Changes to Other Books option, when the book that you are changing is associated with a ledger group that contains multiple ledgers, and the Keep Ledgers In Synccheck box is selected for the ledger group, changes will be copied to other books that associated with the same ledger.
Include Convention	The options are to Exclude or Include a depreciation convention. The depreciation convention automatically displays AM (actual month) for all transactions (except for Adjustments, which invokes the convention specifically defined for adjustments.) If you choose to have the convention included, the convention will be copied to all books. If you choose to have the convention excluded, the convention will not be copied to all books. You can override each book separately at the transaction level also.
Action	Select the financial transaction to be performed. Select an action and click the GO! button: Addition: Adds an adjustment cost line with transaction type of ADD as a result of alternate or multiple funding sources, and so on. This option works the same as Adjustment, except that the transaction type in the cost table will be ADD instead of ADJ. If you use multiple currencies to track asset transactions, access toTransaction Currency fields for Adjust All Rowsand Adjust Current Row Byare available. When you click Apply, these fields are unavailable for entry. The transaction cost is converted to the base cost and added to the total cost of the asset. Exchange rates cannot be viewed from this component. Adjustment: Adjusts the cost or quantity of an existing row and adds a line with a transaction type of ADJ. If you use multiple currencies to track asset transactions, access toTransaction Currency fields for Adjust All Rowsand Adjust Current Row By are available in this activity. When you click Apply, these fields are unavailable for entry. The transaction cost is converted to the base cost and added to the total cost of the asset. Exchange rates cannot be viewed from this component. Fixed Price MarkUp: Applies a markup to the asset that you are transferring. Transaction Currency fields are unavailable for enter for this activity. InterUnit Transfer: Transfers an asset from one business unit to another with different legal entities. Transaction Currency fields are unavailable for entry for this activity. You can also perform InterUnit transfers from regular assets to a group asset ID. Recategorize: Changes an asset category or cost type. Asset Categories classify assets by type for accounting entry purposes. Transaction Currency fields are unavailable for entry for this activity. Revaluation: Revalues an asset by percentage. Revaluation occurs as a result of a monetary revaluation or to account for inflation and is prescribed by a governmental entity. This value is used mostly in countries with high rates of inflation. Transaction Currency fields are unavailable for entry for this activity. Note. Revaluation from this page is based upon the Cost of the assets disregarding the current Net Book Value, current Fair Value and any prior Impairment made to the asset. For example, a revaluation adjustment of 15,000 USD means an increment in the asset's cost of that amount using the Cost type indicated for revaluation with no further calculations. If you want to calculate the revaluation considering the mentioned parameters, you must use the Revaluation Worksheet or the Revaluation in Mass process. See Revaluing Assets Using the Revaluation Worksheet. See Revaluing Assets In Mass. Transfer: Transfers an asset within the same business unit. For example, you can make a transfer between two departments or two operating units as an intraunit transaction as opposed to a transaction between two distinct and separate business units, or an interunit transaction.Transaction Currency fields are unavailable for this transaction.

Entering Cost Information for Transactions

Access the Cost Information page (On the Main Transaction page, click the GO! button).

The Cost Information page displays different fields and value options depending upon the action that you select before clicking the GO! button: addition, adjustment, recategorization, revaluation, or transfer activities.

In the example pictured, the Cost Information page displays interunit transfer or fixed-price markup-activity information.

Note. If you want to perform multiple transactions, complete one transaction, and then save and reenter the page to begin the next transaction. Doing so preserves the audit trail for each transaction.

Note. Transaction currency appears by default from the asset book base currency. Each line can reflect a different transaction currency, depending on the transaction. Balances are displayed in the base currency after the transaction currency is converted to the base currency.

We discuss the remaining fields on the Cost Information Page in the context of the transaction being performed. Some fields are available only for certain transactions.

Note. If the asset transactions that you want to adjust are still pending (depreciation has not yet been run), you may, depending on the transaction type, be able to delete or change them.

Cost History

Expand this group box to view cost history information.

The information displayed includes ChartField information, Salvage Value, Category and Cost Type.

Edit Cost Information

Add new cost rows in the Edit Cost Informationgroup box.

Adjusting Total Cost or Quantity

You can adjust the total cost of an asset by either a percentage of its original cost or by a specific cost amount.

Adjusting Cost or Quantity by Cost Row

Transferring Assets Within a Business Unit

Periodically, you need to transfer assets from one department, product, or project to another. In addition to physically relocating the assets, you may need to change some of the ChartField elements to correctly allocate asset cost and depreciation expense. You can perform full, partial, or retroactive transfers.

Note. This transaction describes transferring assets within a business unit.

See Transferring Parent-Child Assets to Other Business Units (Interunit Transfers) In Mass.

Full Transfers – Edit Cost Information

A full transfer requires you to transfer all units or the total cost of the asset.

Partial Transfers – Edit Cost Information

Partial transfers are useful when you want to assign an asset's cost and depreciation to two or more sets of ChartFields. To partially transfer an asset, you need to perform a separate transfer for each set of ChartFields.

Retroactive Transfers

You may want to transfer assets retroactively if they were transferred during a prior accounting period, but are not yet entered in PeopleSoft Asset Management. To do this, enter the transaction and accounting dates on the Main Transaction page and enter the appropriate cost information in the Edit Cost Information group box. The system will create correcting entries that back out depreciation from the original department for the period between the transaction date and the accounting date. Prior period depreciation for that same period will be posted for the new department.

Recategorizing Assets – Edit Cost Information

You may want to recategorize assets either because you entered the incorrect category or cost type, or because you have created a new category or cost type and want to transfer existing assets to the new reclassification.

Revaluing Assets

Revaluation as defined here is based upon the original cost of the asset without consideration of any prior impairment nor taking into account the fair value or net book value of the asset at the time of revaluation. For revaluation that includes these considerations, use the Revaluation Worksheet or the Revaluation in Mass process.

See Revaluing Assets Using the Revaluation Worksheet.

See Revaluing Assets In Mass.

Note. Entering changes to cost information and transacting transfers, recategorizations and revaluations affect prior calculated depreciation and accounting entries. You must run both depreciation and accounting entry processing when you make these changes.

Transferring Assets to Other Business Units (Interunit Transfers)

PeopleSoft Asset Management gives you full flexibility in performing Interunit transfers. You can fully or partially transfer assets from one business unit to another, or from one business unit to many others. You can do full or partial transfers by cost, quantity, or percentage.

Note. You can perform interunit transfers from group assets to other group assets, group assets to regular assets and from regular assets to group assets.

Note. You cannot perform interunit transfers on joint venture business units.

Interunit processing is performed through the PeopleSoft Centralized Inter/IntraUnit Processor. It provides consistent setup and centralized processing to manage Inter/Intraunit transactions.

The procedures for performing interunit transfers that are discussed in this section do not apply to parent-child assets. You do Interunit transfers for parent-child assets using the Parent-Child IU Transfer page ( AM_PARCHD_IU application engine program).

Note. To transfer parent and child assets among business units in this application engine, you must set up the appropriate InterUnit Transfer Definitions.

In the New Unit field, select the business unit to which you are transferring the asset. The New Asset ID field is populated by default as NEXT. You can change this value if necessary. Do not enter an existing asset ID unless you want to transfer costs between the two assets.

Select a profile ID that is valid for the new business unit to set up book reporting. Trans Code (transaction code) identifies which accounting entry template to use for this transaction. Only valid combinations for accounting entry templates that exist are accepted.

Click the InterUnit Transfer Options link to access the InterUnit Transfer Options page, where you can select the asset information that you want transferred with the asset.

Click Transfer From/To Books link to access the Transfer From/To Books page where you specify the way in which cost information is passed between business unit books. This link displays after supplying the value in the New Unit field.

Select the Remaining Life check box to depreciate the transferred (ADD) asset through its remaining life. This check box is deselected by default, which allows the transferred (ADD) asset to calculate depreciation over its full useful life. The full useful life depends upon the selection of the Use Profile check box. If deselected, the useful life is derived from the source asset. If the Use Profile check box is selected, the useful life is derived from the target unit profile.

Use the fields in the Edit Cost Information group box to specify the cost and quantity to be transferred.

Select the Use Profile option to get profile attributes when New Profile ID has been enabled. If it is not enabled, the profile attributes are derived from the "from" or original asset profile. When using the capitalization threshold feature, the Use Profile option establishes which threshold is used for the new asset. If this check box is deselected, the system uses the anchor profile threshold. If the check box is selected, the system uses the threshold defined in the target profile.

Note. You can run the capitalization threshold validation in the new business unit if you want to validate the status again.

See Setting Up Capitalization Thresholds.

Click Proceeds to open the InterUnit Proceeds page, where you can specify a markup value to be applied to the transferred assets in the receiving business unit. This feature is often used in European countries.

You can perform full interunit transfers from one business unit to another, or from one business unit to many others. You can also perform a partial interunit transfer in which the original business unit retains a portion of the asset but transfers part of it to another business unit.

Note. When performing a partial interunit transfer when multiple ChartField combinations within the same book are involved, you must delete the entry or entries in the page for the ChartField combination that you do not want to transfer. Additionally, it is recommended that if you want to do a partial transfer to more than one business unit, you should do them separately.

Full Interunit Transfers from One Business Unit to Another

Full interunit transfers from one business unit to another are the simplest transfers to perform. After you have completed the information in the Enter New Unit group box and its pages and saved the Cost Information page, all cost rows are transferred to the new business unit.

Full Interunit Transfers from One to Many Business Units

You can transfer to as many business units as existing cost rows. To do this, enter one of the receiving business units in the New Unit field in the Enter New Unit group box. Complete the rest of the Interunit transfer information. Review each cost row in the Edit Cost Information group box. All cost rows will show the new business unit that you entered in the New Unit field. Change the business unit for each cost row as appropriate. In this way, you can transfer all cost rows for an asset to multiple business units.

Note. Transaction currency is supplied by default from the base currency of the book. Each line can reflect a different transaction currency depending on the transaction. Balances are displayed in the base currency after the transaction currency is converted to the base currency. The system allows interunit transfers across business units with different base currencies when using the TRANSFER action.

Partial Interunit Transfers

You can transfer part of an asset to a different business unit and enable the original business unit to retain a portion of it. To do this, enter the receiving business unit in the New Unit field in the Enter New Unit group box. Complete the rest of the Interunit transfer information. Review each cost row in the Edit Cost Information group box. All cost rows will show the new business unit that you entered in the New Unit field. To retain partial ownership of the asset with the original business unit, delete the entry or entries with the ChartField combination for which you do not want to transfer.

Accumulated Depreciation Adjustment for Group Assets

PeopleSoft estimates the NBV for Group Members when they are being transferred to a new business unit or being recategorized. This estimation of the accumulated depreciation amount is calculated in the Group Asset Depreciation Calculation process. You can, however, override the estimated calculation by clicking the Accum Depr button and supply your own accumulated depreciation value. When you select a member asset for Fixed Price MarkUp, InterUnit Transfer, Recategorize, or Transfer, the Accum Depr button appears on the Cost/Information page. When you click the button, you are prompted to enter the accumulated depreciation value.

See Also

Transferring Parent-Child Assets to Other Business Units (Interunit Transfers) In Mass

Specifying Transfer To/From Books Information

Access the Asset Cost IU Book Transfer page.

The transactions that are generated to pass book information for Interunit transfers differ depending on how many To books a From book is passing information to, and whether it is passing the information using a Transfer Book action or an Add Book action.

Note. Assets that you transfer to new business units using the Add Book action will have a cost row of zero on the new business unit until you run the Depreciation Calculation application engine program (AM_DEPR_CALC). Running this program updates the asset's cost row with its net book value from the From book.

Using a From Book Once

When you use a From book once only, an Add Book action generates a retirement for the From book and an add to the To book. A Transfer Book action generates a Transfer Out for the From book and a Transfer In for the To book.

The asset that is retired receives an asset status of Disposed on the From book.

These tables show that assets that you transfer between books using the action Transfer Book receive a status of Transferred.

Using a From Book for Two or More Transfers

When you use a From book for two or more Transfer Book actions, only one Transfer Out transaction is generated. Because this takes care of the cost on the From book, no additional Transfer Out transactions are generated for that book.

This table shows that assets that you transfer between books using the Transfer Book action receive a status of Transferred.

Using a From Book for Both Transfer and Add

When you use a From book for both a Transfer Book and an Add Book, a Transfer Out transaction is generated for the Transfer Book. Because this takes care of the cost on the From book, the Add Book does not generate a retirement for that book.

This tables shows that assets that you transfer between books using the Transfer Book action receive a status of Transferred.

Using a From Book for Two or More Adds

When a From book is used for two or more Add Book actions, a retirement is generated for the first Add Book action. Because this takes care of the cost on the From book, no further retirements are generated for it.

This table shows that the asset that was retired receives a status of Disposed on the From book.

Retiring a Book

When an asset is transferred from a business unit with two books to a business unit with more than two books, the asset pulls the additional book's mapping from the Interunit Business Unit/Book Definition page and profile.

For example, if you do a transfer from CAN01 (two books - ASSET-CAD/ASSET-USD) to US001, the mapping might be like this:

ASSETS-CAD ------> CORP

ASSETS-USD ------> FEDERAL

ASSETS-USD ------> ACE

ASSETS-USD -------> AMT

Some of the information such as life for the new business unit and book comes from the profile. The transfer amounts and so on are calculated from the FROM business unit or book, as previously outlined.

Note. When you transfer from a business unit with three books to a business unit with two books, the cost information on the extra From Book is automatically retired. You do not need to enter an action.

This table shows that assets that are retired receive a status of Disposed.

Marking Assets Up or Down

Access the Interunit Proceeds page.

You can transfer an asset from one business unit to another and have the receiving business unit receive the assets at a marked up cost by specifying either a fixed markup cost or a fixed markup percentage. To do so, enter the net markup price in Interunit Proceeds or the net markup percentage in Mark Up/Down Percent. The default is a positive adjustment. If you want to decrease the price or percentage, you must enter a negative amount. Enter the number of assets in Transfer Quantity.

Note. If you were to enter both an Interunit proceeds (Price) and a Mark Up/Down percent, the percent overrides the price.

You can complete a partial transfer and a fixed price markup or markdown by using a two-step method. For example, you may want to do a partial transfer of four computers out of a total quantity of ten computers and mark up the price as well. The first step is to perform an Interunit transfer for six computers. Complete this transaction, and then do a fixed price markup on the remaining four computers, and transfer them to the new business unit.

PeopleSoft Asset Management processes markups in the following ways:

• The markup percentage of the asset is specified on the cost of the asset.

• The cost of the asset is marked up or down for all the ChartFields in proportion to the original cost distribution of the asset.

• You can have the markup affect one or all of the asset's books during the transfer.

  The Keep All Books in Sync option for the acquiring business unit controls whether the markup is done on one book or all the asset's books.

• The book information for the asset in the acquiring business unit comes from the asset profile that is specified at the time of the sale (on the Cost Information page).

  This includes the depreciation method and convention, asset life, and so on.

• The selling business unit manages the markup price as proceeds.

Accumulated depreciation is not passed on to the new business unit.

Selecting a Child Asset for Adjustment or Transfer

Access the Child Assets page (Asset Management, Asset Transactions, Financial Transactions, Cost Adjust/Transfer Asset, Child Assets).

The Child Assets page appears for child assets when you select the Transfer or the Recategorize actions on the Main Transaction page.

Note. Parent assets that are created on the Parent Asset page (parent-only assets) do not have cost or basic information. They cannot be viewed in the Parent-Child Basic Information component, nor can they be viewed or transacted against in the Asset Cost/Adjust Transfers component; the Asset Retirements component; or the Parent-Child NBV component. If you want to use a parent asset as a reporting umbrella only and access these pages to manipulate child assets in mass, you should create a zero cost parent asset instead of a parent only asset. Also, to transact against parent and child assets at once, parent and child must share the same asset profile.

Note. Only child assets available for transfer based on the specified accounting date can be selected. The system compares the last accounting dates for the child assets as specified on the Book table with the accounting date of the current transaction to make this determination.

Entering Child Asset Details

Access the Child Asset TRF/RCT Overrides page (On the Child Assets page, click the Child Details link).

Convention	Select a depreciation convention.
Quantity or Cost	Enter the quantity or cost to use in this transaction for the child asset. For example, if you were transferring all costs for the parent from one department to another, but wanted to transfer only 500 USD for the child asset, you would enter 500 in Cost.
Transaction Percentage	You can specify a percentage of the child asset's cost to include by entering it in the Transaction Percentage field.
Transaction Date and Accounting Date	Enter a transaction date or an accounting date if you want it to differ from the dates that you entered for the parent's transaction.

Adding Advanced Transaction Details

Access the Advanced Transaction Details page (On the Asset Cost/Adjust Transfer Child Assets page, click the Advanced Txn Details link ).

Select one of these options:

Transferring Parent-Child Assets to Other Business Units (Interunit Transfers) In Mass

Use the Parent-Child IU Transfer (AMPC_IUT_RQST) component to transfer parent-child assets from one business unit to another. The transfer process uses the application engine AM_PARCHD_IU.

This section discusses how to transfer parent-child assets from one business unit to another.

Page Used to Transfer Parent-Child Assets to Other Business Units In Mass

Transferring Parent-Child Assets from One Business Unit to Another

Access the Parent-Child IU Transfer page (Asset Management, Asset Transactions, Parent-Child Relationship, InterUnit Parent-Child Trans).

Unit	Select the business unit from which you are transferring assets.
New Unit	Select the acquiring business unit.
New Group ID	This field displays when the New Unit field points to a Group Asset business unit. This is used when you want to extend parent/child functionality to group assets. See Using Group Asset Processing.
Convention	Select the depreciation convention.
Transaction Date	Enter the transaction date.
Accounting Date	Enter the accounting date for the transaction.
Transaction Code	Identifies which accounting entry template to use for this transaction. Only valid combinations for which accounting entry templates exist are accepted.
Parent Asset	Select the parent asset from which you are transferring assets.
Profile ID	Select an ID that is valid for the new business unit to set up book reporting.
Include Parent Asset	Deselect this check box to transfer all or selected child assets at once while leaving the parent asset out of the transaction.

Revaluing Assets Using the Revaluation Worksheet

This section lists the page used to revalue assets using the Revaluation Worksheet.

The Revaluation Worksheet allows you to revalue financial assets in accordance with International Accounting Standards (IAS 16) to reflect current fair value, provided that the net book value (NBV) of an asset is less than its fair value (FV) at a given point.

Note. Since the NBV is required for determining the revaluation amount, the depreciation reporting table must be loaded prior to performing revaluation.

Page Used to Revalue Assets Using the Revaluation Worksheet

Revaluing Assets Using the Revaluation Worksheet

Access the Revaluation Worksheet page (Asset Management, Asset Transactions, Financial Transactions, Revaluation Worksheet).

Business Unit	Select a business unit for your search criteria. This is a required field and displays only business units whose revaluation option is enabled.
Book Name	Select a book for your search criteria. This is a required field and displays the default book for the business unit that you select in the Business Unit field.
Cost Type	(Optional) Select a Cost Type to narrow your search criteria.
Asset Category	(Optional) Select a Category to narrow your search criteria.
Location	(Optional) Select a Location to narrow your search criteria.
Profile ID	(Optional) Select a Profile ID to narrow your search criteria.
Asset Class	(Optional) Select an Asset Class to narrow your search criteria.
From Asset ID/To Asset ID:	(Optional) Select an asset or a range of assets to further narrow your search criteria.
ChartField Search Criteria	(Optional) Use this link to search assets by ChartField.
FV Percentage (%): (fair value percentage)	(Optional) Use a percentage that applies to all assets that appears in the search result section when the Retrieve button is pushed. Enter a value that is less than zero if there is a decrease from the original value. If both FV percent and NBV percent exist, the system uses the FV percent. For example, assume that Asset A has a Fair Value of 10,000 USD and the FV has been effective for two years. If you enter a value of 25, it will change the FV of the asset to 12,500 USD with the revaluation date when page is saved, which is 125 percent x Original FV (125% x 10000 = 12500). The calculated FV will appear in the result section. See Defining Fair Value Processing.
FV Template ID (fair value template ID)	Select an existing fair value template, if applicable. This provides an efficient way to populate the other fair value fields. Upon clicking the Retrieve button, the FV Template ID and FV Group ID in the Asset Search Results retrieves default values from the Revaluation Information section. When marking rows and saving the page, the fair value fields are updated on the Fair Value record (AM_FMV). See Defining Fair Value Templates.
FV Group ID(fair value group ID)	Default value populates from the selected FV Template ID. You can override the default value that is derived from the FV Template. If the valuation premise from the FV Template is In-Exchange or the FV Template ID is blank, the FV Group ID is disabled. See Defining Fair Value Groups.
NBV Percentage (%):	(Optional) Use a percentage that applies to all assets that appears in the search result section when the Retrieve button is pushed. You must enter a value that is greater than zero in this field; otherwise, it will cause the FV to be less than the NBV and no revaluation will occur. For example, assume that Asset B has a Fair Value of 9,000 USD and a Net Book Value of 10,000 USD. The FV has been effective for two years. If you enter a value of 30, it will change the FV to 13,000 USD (130% x 10,000) with the revaluation date when the page is saved. The calculated FV will appear in the result section.
Accounting Date	Enter the date that the revaluation is to be booked. This date must fall within the open period range and cannot be earlier than the revaluation date.
Copy Revaluation to Other Book	Select this check box if you want the revaluation amount in a given book to populate other books whose revaluation process is enabled. PeopleSoft Asset Management copies the revaluation amount to other books in the ledger group as long as the Keep Ledgers in Sync (KLS) option is selected. If the option Copy Revaluation to Other Books is checked, PeopleSoft Asset Management copies the same amount to the books with the revaluation process selected for books that do not point to the ledger group. Depending on the selection of these options, when Copy Zero Impair/Revalue Rows is checked, the system copies zero revaluation data in all the remaining books. For example: Suppose you have a business unit with six books (A, B, C, D, E, F), with the first three books, A, B and C pointing to a ledger group, the ledger group is synchronized with the general ledger business unit and book B is pointing to the primary ledger. However, the other three books, D, E and F, do not point to general ledger and books A, B, C, and E have the revaluation option enabled. PeopleSoft Asset Management processes the revaluation against the primary book, B. The system then copies the revaluation adjustment to book A and book C because they are in the same ledger group, regardless of the status of the optionsCopy Revaluation to other books and Copy Zero Impair/Revalue Rows. If Copy Revaluation to other books is selected, the system copies the same revaluation adjustment to book E because the revaluation option is selected for that book. If the Copy Zero Impair/Revalue Rows option is selected, the system copies zero revaluation rows into book D and F. If theCopy Revaluation to other books option is not selected andthe Copy Zero Impair/Revalue Rows option is selected, the system copies zero impairment rows to books D and F. When both options are not selected, the system does not copy any impairment or revaluation row to books D, E and F.
Revalue Method	Select the method used to calculate the asset revaluation. This is a required field and includes the following options: Dpr Wt-Off (depreciation write-off) This option appears only if the Revaluation Write-off flag is turned on at the Business Unit/Book level. The depreciation write-off method writes off the accumulated depreciation as of the revaluation date. The asset value is increased to reflect the current fair value and a revaluation surplus is recorded. This table shows, at a high level, what happens with the depreciation write-off method when the original asset cost is 20,000 USD, the NBV is 19,000 USD and the FV is 22,000 USD: Account Debit / (Credit) Description Fixed Asset 2,000 FV less Original Cost (22,000 - 20000) Accumulated Depreciation (write-off) 1,000 Original Cost less NBV (20,000 - 19,000) Revaluation Surplus (3,000) FV less NBV (22,000 - 19,000) Note. With the previous accumulated depreciation written off, the adjusted basis of the asset is 22,000 USD and subsequent depreciation is calculated keeping, untouched the original depreciation amount, plus adjustments to fully depreciate the asset by the end of its useful life. Note. If there is a remaining impairment processed previously for the asset, under the depreciation write-off method, the system first eliminates it and only the remaining value generates a revaluation surplus. Cost Based This method leaves the accumulated depreciation to-date in tact and adjusts the asset cost by the difference between the asset NBV and the FV. This table shows, at a high level, what happens with the Cost Based method when the original asset cost is 20,000 USD, the NBV is 19,000 USD and the FV is 22,000 USD: Account Debit / (Credit) Description Fixed Asset 3,000 FV less NBV (22,000 - 19,000) Revaluation Surplus (3,000) FV less NBV (22,000 - 19,000) Note. The total cost of the asset is now 23,000 USD with a remaining accumulated depreciation of 1,000. Subsequent depreciation is calculated based on the new total cost to fully depreciate the asset by the end of its useful life. The actual accounting entries that are recorded as a result of these two revaluation methods are comprised of separate accounts so as to leave the original entries in tact. These accounts and corresponding distribution types are: Provision for Revaluation, (PR distribution type), is the Revaluation Surplus account and records the gain on the revaluation. This account is credited when creating the revaluation surplus and debited with the asset disposal. Reversal of Depreciation, (RD distribution type), is the realized gain during the usage of the asset and is credited periodically along with the asset depreciation. Provision for Revaluation Contra, (RC distribution type), is the depreciated amount of the Provision for Revaluation and is used for facilitating calculations at the moment of transferring or doing a recategorization. It acts for Provision for Revaluation as Accumulated Depreciation acts for the fixed asset account. It is debited periodically along with the asset depreciation and credited with the asset disposal. Inv Prop (investment property) - Investment property measured at fair value is considered nondepreciable according to International Accounting Standards (IAS). When you select this field value and click the Retrieve button, those assets that were designated as investment property are retrieved. See Defining Investment Property.
Convention	Enter the depreciation convention. The default value is AM (actual month). See Setting Up Depreciation Conventions.
Revaluation Comments	Use this link to record transaction level details.
Revaluation Date:	Enter the date that the revaluation takes place. This is the transaction date and is used to determine the NBV and the FV.
Include current Period Depr.	Select this option if the current period depreciation is to be accumulated. For example: if you perform the revaluation at the end of period 12 (the final period in the year) but you do not want to include period 12 depreciation to compare with FV, you would not select this check box.
Exclude Assets Revalue After:	(Optional) Select a date that may assist you in retrieving assets that have not been revalued recently.
Frequency	Select the frequency of the revaluation. This is used for audit purposes.
Retrieve	Click the Retrieve button to retrieve the assets based on your search criteria.

Asset Search Results

Once you click the Retrieve button, the Asset Search Results page appears. The Asset Search Criteria section collapses and the revaluation information is visible but disabled.

Mark to Revalue	Click to revalue the selected assets. The revaluation status of the selected assets is changed to Revalue and when the page is saved, the asset is revalued.
Mark to not Revalue	Click to change the revaluation status of the selected assets to Don't Revalue. When the page is saved, the selected assets will not be revalued. A blank revaluation status is treated the same as the "Don't Revalue" asset; however, this designation marks the asset specifically as an asset that should not be revalued and the asset appears in the audit table.
Mark to Update FV	Click to update the FV in mass without performing a revaluation. The revaluation status will be FV and implies only an update in the FV table using the date of revaluation as the appraisal and effective date. The FV is necessary for comparison purposes in the revaluation process and this provides a convenient way to update those values for in mass.
Remove From List	Click to remove the selected assets from the grid. This action does not generate a new Revaluation Status.
Refresh	Click to update changes in the revaluation calculation if you modify the FV before saving the page.
Mark	Select those assets to which the action applies.
Revaluation Status	Displays the revaluation status of the asset. The values are: [blank]: Default value. Revalue: Displays when the Mark to Revalue button is selected. This inserts the new FV into the FV table, if applicable, and creates transaction rows in the financial interface table. Don't Revalue: Displays when the Mark to not Revalue button is selected. No action is performed for the asset. FV: Displays the FV when the Mark to Update FV button is selected. Excluded: The system assigns this status after saving the page if the FV of the asset is less than the NBV and the revaluation status was set to Revalue. In this way, the system overrides the given status of an asset that should not be revalued by definition. Note. You can change the revaluation status until saving the page. Once you save the page, all data becomes unavailable for change.
Asset ID	Displays the asset identifier.
Cost	Displays the total cost of the asset in the base currency.
Accumulated Depreciation	Displays the total depreciation in the base currency of the asset up to the revaluation period or prior period based on the "Include Current Period Depr." option. Note. If the convention is AD, prior period means prior day.
Net Book Value	Displays the asset NBV. This value is copied from the Depreciation Reporting table, which must be loaded before using the Revaluation Worksheet for revaluation.
Fair Value	Displays the FV converted from its original currency to the book's base currency at the revaluation date rate. You can update the FV in the book's base currency and at such time, a new entry is created in the FV table at the time of save as long as the revaluation status is Revalue or FV. If you modify the given FV, click refresh button to update the revaluation amount. See Defining Fair Value Processing.
Revaluation	Displays the revaluation adjustment amount. The system calculates the amount as follows: Depreciation Write-Off Method: FV less NBVless Carry Cost (Impairment) amount, if Revaluation is greater than zero. Cost Based Method: FV less NBV.
Cost Adjustment	Displays the cost adjustment amount. The system calculates this amount as follows: FV less Cost. Depreciation Write-Off Method: FV less Cost. Cost Based Method: FV less NBV.
Accum. Depr. Adjustment(accumulated depreciation adjustment)	(Applies only when the Depreciation Write-off method is used.) Displays the amount of the accumulated depreciation adjustment due to revaluation.
Impairment Reversal	(Applies only when the Depreciation Write-off method is used.) Displays the impairment reversal amount. The system calculates this amount as follows: If the Revaluation amount is greater than zero, the impairment reversal is the Carry Cost (Impairment) value. If the Revaluation amount is less than zero, the impairment reversal is the FV less the NBV.
Carry Cost (Impairment)	Displays the sum of the Impairment Loss and prior Impairment Reversal (in the base currency.)
Carry Cost (Revaluation)	Displays the sum of the prior Revaluation, Revaluation Reversal and Revaluation Write-off (in the base currency.)

Note. Upon saving, an audit trail is stored in two tables: AM_REV_AUD_HDR and AM_REV_AUD_DTL.

Revaluing Assets In Mass

This section lists the page that you use to revalue assets in mass.

You can run the AMREVAL process (Cost Based method) to revalue assets in mass that meet the criteria that you specify. You can also run the AMAUSCAL process (Australian Revaluation or Net Method) or the AMDEPRWRTOFF process (Depreciation Write-Off) in mass. To revalue assets in mass, access the Mass Revaluation page.

Note. All three revaluation methods are available using the Mass Revaluation process: Cost Based (primarily French revaluation), Depreciation Write-Off and the Net Method (Australian revaluation). In contrast, the Revaluation Worksheet only allows the Cost Based and Depreciation Write-Off methods for revaluation.

When the NBV is required for determining the revaluation amount (as is always the case with the AMDEPRWRTOFF), the depreciation reporting table must be loaded prior to performing the revaluation. If you are using the Net Method, you do not need to load the depreciation reporting table prior to revaluation (AMAUSCAL.)

When using the Cost Based Method (AMREVAL), you should load the depreciation reporting table for all parameters except when using Cost Percentage. The Cost Percentage parameter does not require the depreciation reporting table.

Note. The Cost Based (AMREVAL) and the Depreciation Write-Off (AMDEPRWRTOFF) processes update the FV of the revalued assets.

When calculating the revaluation amount, you may select from the following parameters: FV, FV Percentage, NBV Percentage, Cost Percentage or Amount. You may only select one parameter at a time and precedence takes place hierarchically from top to bottom in the order that the parameters appear on the Mass Revaluation run control page. Some parameters may not be available, depending upon the revaluation method that is selected.

Note. The revaluation method selected on the run control page must match the process name that is selected on the process scheduler request page.

See Also

Using the Global Features of PeopleSoft Asset Management

Page Used to Revalue Assets In Mass

See Also

Revaluing Assets Using the Revaluation Worksheet

Revaluing Assets Using Mass Revaluation

Access the Revaluation in Mass page (Asset Management, Asset Transactions, Financial Transactions, Revaluation in Mass, Revaluation in Mass).

Capturing and Maintaining Asset Fair Value

Fair Value is a key factor in establishing revaluation of assets. PeopleSoft Asset Management stores this information based on each asset and allows you to add a new fair value (FV) on a regular basis, leave it blank, or let it stay as original cost, depending upon your business requirements. FV is not rolled up to the composite asset from its members. and the FV history cannot be deleted for audit purposes.

FV history cannot be deleted or updated for audit purposes unless you are authorized to edit within Correction Mode. Any changes made in this value after performing revaluation do not affect existing revaluations.

You can load market values in mass using the Excel to CI component interface.

See Adding Assets with the Excel to Component Interface Utility.

This section lists the page that you use to capture and maintain asset FV.

Page Used to Capture and Maintain Asset FV

Capturing and Maintaining Asset FV

Access the Fair Value page (Asset Management, Asset Transactions, Financial Transactions, Fair Value).

Effective Date	Enter the date that the revaluation process will use to find FV at a specified point in time.
Effective Sequence	The system populates this field and is incremented when a new row is inserted with the same effective date.
Fair Value:	Enter the amount to be copied to the Basic Add page where the current fair value is displayed. Note. If the asset is a capital lease, synchronize the fair value entered from the Lease Express Add page or the Update Lease Information page. The FV entered on the lease page is inserted in the FV table with the transaction date as the effective and appraisal dates. The valuation method is Acquisition Amount. The FV becomes unavailable for edit on the FV table, but you can modify it on the Lease Update page (ASSET_LEASE_01.) The system allows you to add/update other rows. On this page, you can change only the original FV, and it is copied into the FV table. A new row inserted on the FV page will not impact on the FV field on the Lease Update page. See Working With Leased Assets.
Currency	Enter the currency to be used to measure the FV. This field value automatically populates from the default book currency.
Rate Type	Enter the rate type that will be used to convert FV to base currency when it is used for revaluation. This field value automatically populates from the default book rate type.
Valuation Method	Select the valuation method that is to be used for this asset.
Valuation Premise	Designate the valuation premise as either In-Use or In Exchange. If In Use is selected, the Group By and FV Group ID fields appear.
Input Level	Select the report input level for the asset: Level 1, Level 2 or Level 3. The default value is blank.
Group By	This field is active when the Valuation Premise is In-Use. Select the appropriate grouping for the asset.
FV Group ID(fair value group ID)	This field is active when the Valuation Premise is In-Use. Select the appropriate FV Group ID. See Defining Fair Value Processing.

Updating Noncapitalized Costs

This section lists the page that you use to update noncapitalized costs for assets.

Page Used to Update Noncapitalized Costs

Viewing Cost History and Summarizing Cost Rows

Use the Review Cost (COST_HISTORY) component to review cost history for capitalized and noncapitalized assets.

Use the Cost Summarization (AM_COST_SUM_RUN) component to summarize cost rows.

This section provides overviews of cost history and cost summarization and discusses how to generate cost summarizations:

Understanding Cost History

PeopleSoft enables you to view cost history of assets online. You can view cost history for both capitalized and noncapitalized assets. Using the Cost History component, you can:

• View a history of an asset's transactions on the Cost History List page.

• View detail about a specific transaction on the Cost History Detail page.

• View a history of a noncapitalized asset's transactions on the Non Cap Cost History List page.

• View more detail about a specific transaction on the Non Cap Cost History Detail page.

Understanding Cost Summarization

Multiple transactions coming from PeopleSoft feeder systems rapidly create a large volume of cost history lines. PeopleSoft Asset Management provides the Cost Summarization process to summarize multiple cost lines that meet certain criteria into a single line. The process uses the Cost Summarization Run component (AM_COST_SUM_RUN). You should run the process only after calculating depreciation (AM_DEPR_CALC) and creating accounting entries (AM_AMAEDIST).

Cost summarization affects cost rows in the Cost table only. No changes are made to the Acquisition Detail table. The fields that are summarized are Cost, Transaction Cost, and Quantity. Cost summarization creates an audit table (AM_COST_SUM_AUD) that contains the original cost rows before summarization.

You can summarize cost rows that have matching values for:

• Business unit.

• Asset ID.

• Book.

• Category.

• Transaction type.

• Chart of accounts, or ChartField.

• Cost type.

• Transaction code.

• Accounting year and period.

• Transaction year and period.

• Depreciation convention.

Summarization updates the transaction date with the first day in the transaction period for all lines. It updates the accounting date with the last day in the accounting period for all lines. The summarization is then based on the new dates.

The only exception is the actual day (AD) convention.

When the transaction currency code or type differs, cost summarization uses the asset base currency as the transaction currency, and currency type is blank.

Note. You can run cost summarization in streamline mode during the create accounting entry process using the accounting entry component (AM_AMAEDIST).

Pages Used to View Cost History and Summarize Cost Rows

Generating Cost Summarizations

Access the Cost Summarization page (Asset Management, Asset Transactions, Financial Transactions, Cost Summarization, Cost Summarization).

Note. When a line does not meet the criteria to summarize with other lines, no summarization occurs.

Cost summarization creates an audit table so that you can review the summarization details after you have processed the summary.

Updating the General Ledger with Adjustments and Transfers

When you make adjustments or changes that affect your general ledger, PeopleSoft Asset Management automatically creates corresponding journal entries that update the applicable accounts in your general ledger. Specifically, journal entries are created when your changes require recalculation or when an asset is transferred. The information that is used to create these journal entries comes from an Accounting Entry template that is set up for adjustments and transfers.

See Also

Defining Accounting Entries

Making General Ledger Journal Entries

Modifying or Deleting Pending Asset Transactions

You can modify or delete financial asset transactions that are pending depreciation. (These are transactions on which depreciation has not yet been run.) You can modify or delete the following pending asset transactions:

• Adds

• Adjustments

• Transfers

• Recategorizations

Warning! You cannot modify or delete retirement transactions, leased asset transactions, group asset transactions, joint venture transactions, or parent/child asset transactions.

Note. Regarding the Copy Changes to Other Books option: when you delete an Add transaction, the deletion applies to all books to which the asset reports. However, when you delete Adjustments, Recategorizations, and Transfers transactions, you should review the delete at each book in the scroll area and click the Delete button on each book. Also, if you are using this page only to change the accounting date, transaction date, or transaction code, these changes will apply to all books to which the asset reports. To apply other types of updates to pending transactions, you need to scroll through each book that you want to affect with the modification. No other way is available to affect all books with an update.

Pages Used to Modify or Delete Pending Asset Transactions

Modifying or Deleting Pending Transactions

Access the Pending Trans Update/Delete page (Asset Management, Asset Transactions, Financial Transactions, Change/Delete Pending Trans).

Review the information to make sure that this is the intended transaction that you want to modify or delete.

Click Update or Delete to review transaction information, and then either modify or delete it.

Click Edit Trans Info to edit the transaction date, accounting date, and the Transaction code.

Viewing Asset Transaction Details

Access the Asset Addition page (On the Pending Trans Update/Delete page, click the Update button or the Delete button).

Asset Transaction Detail

Modify the transaction directly in the cost row or rows.

Only certain fields are available for editing, based on the type of transaction that you are modifying:

Updating Transaction Information

Access the Transaction Information page (On the Pending Trans Update/Delete page, click the Edit Trans Info button).

Trans Code (transaction code) is optional. It helps to identify which accounting entry template will be used for this transaction. You can select only those valid combinations for which accounting entry templates exist.

Adjusting for Asset Impairment

Use the Impairment (AM_IMPAIR) component or the CGU Impairment (AM_CGU_IMPAIR_RUN) component to perform impairment testing and create impairment adjustments to assets.

This section provides an overview of impairment testing, lists the pages used for impairment testing, and discusses how to:

• Work with the impairment worksheet.

• Run the CGU Impairment Batch process.

• View and report impairment losses and reversals.

Understanding Impairment Testing

PeopleSoft supports the requirements of International Accounting Standard (IAS) 36 by providing an impairment test worksheet.

A generally accepted principle is that long-lived assets should be subject to some form of recoverable amount constraint, that is, that the carrying amount of an asset does not exceed the amount that is recoverable from the future economic benefits that the asset is expected to generate. When the carrying amount of an asset exceeds its recoverable amount, the asset is described as impaired and the carrying value should be reduced to the recoverable amount. Therefore, assets should be subject to some type of impairment evaluation or test. The purpose of an impairment or recoverable amount test is to identify such assets and ensure that losses of future economic benefits are properly recognized in a timely manner (asset values are reduced in the statement of financial position, and expenses are recognized in the statement of financial performance).

In pursuance of this principle, the International Accounting Standards Board has defined IAS 36, This requires that you ensure that your assets are carried at no more than their recoverable value. IAS 36 provides a list of external and internal indicators of impairment as well as requirements for an impairment assessment strategy and frequency-of-asset impairment review. Only assets that are identified as 'potentially impaired' require an impairment assessment. If you have an indication that an asset may be impaired, then the enterprise is required to calculate the asset's recoverable amount.

Note. To assess whether any assets you have are subject to impairment review, consult the most current published IAS standards.

PeopleSoft also enables the definition of a Cash Generating Unit (CGU) and the association of CGUs with business units to further support impairment testing. Impairment losses can be allocated to individual assets on a CGU basis using the CGU Impairment utility. This batch process allocates CGU impairment data for each asset and stores the details in the INTFC_FIN table. You can also initiate the transaction loader (AMIF1000) to process and update asset tables automatically.

If an organization cannot determine recoverable value for an individual asset, it must identify the lowest aggregation of assets that generate largely independent cash flows. These aggregations of assets are called CGUs. CGUs are defined as the smallest identifiable group of assets that generates cash inflows from continuing use, and are largely independent of the cash inflows from other assets or groups of assets. CGU should be defined consistently from period to period. However, an asset that was previously part of a CGU but which is no longer used, should be excluded from the CGU and assessed for impairment separately.

If you are required to perform impairment evaluation, at a minimum, you should evaluate assets at each balance sheet date. You can test assets or CGUs for impairment at any time.

Impairment processing is enabled at the installation level. Impairments are then processed on assets that are contained within the business unit where impairment processing is selected. You can select asset categories, profiles, books, accounting entry template, CGUs, and individual asset IDs for impairment processing.

To process calculation of impairment, the system compares the following information:

• Carrying amount: The net book value (NBV) of the asset as it is currently recorded in the accounts.

• Recoverable amount: The higher of an asset's Net Selling Price (NSP) or its Value In Use (VIU):

  • The NSP is obtained from the sale of an asset in a bargained transaction between knowledgeable, willing parties with reference to the price of an active market and less the costs of disposal.

  • The VIU is the present value of estimated future cash flows that are expected to arise from the continuing use of an asset, and from its disposal at the end of its useful life, (for example, the sum of discounted cash flows).

The impairment worksheet can also apply an index to the carrying cost and calculates the potential NSP/VIU cost. The system compares the carrying amount value to the recoverable amount value to calculate the potential impairment. Any difference is the impairment loss.

An impairment reversal is required when a change has occurred in the estimates that are used to determine the impairment loss. In this case, the carrying amount of the asset is increased to the recoverable amount, where the recoverable amount does not exceed the original carrying amount.

You can also select impairment processing when running the Cost and Depreciation process.

To view impairment loss and reversal, use the Cost and Depreciation Summary page (AM_REPORT1). To generate reports of impairments, use the Asset Impairment report (AM_IMPAIR_RPT_RUN) component.

Note. Impairment testing prescribed by IAS 36 is not required in all countries.

See Establishing PeopleSoft Asset Management Business Units.

Pages Used to Make Impairment Adjustments

Working With the Impairment Worksheet

Access the Impairment Worksheet page (Asset Management, Asset Transactions, Financial Transactions, Impairment Worksheet).

Enter the asset search criteria and impairment information.

Asset Search Results

When you are finished entering search criteria and impairment information, initiate the retrieval process. On completion, the Search Criteria group box collapses. The Impairment Information group box is visible, but unavailable for entry. You can initiate a new search or refine search of your returned results.

The results of the assets matching the criteria that are entered are displayed in the Asset Search Results grid on the worksheet. The grid contains two tabs:

• Impairment Information

• Asset Information

Use the buttons to mark assets to be impaired and assets not to be impaired, to remove assets from the list, and to refresh the page.

Note. Selected assets must already have been processed for depreciation and included in the load depreciation report table process before they are available to be reported in the impairment worksheet.

Impairment Information

This section enables you to select or exclude selected assets for impairment.

When you have reviewed and selected assets to be impaired, save the worksheet. The saving process performs the following tasks:

• The system creates a cost adjustment (with user define impairment loss cost type) for the impairment loss.

• The system creates a cost adjustment (user defined impairment reversal cost type) for the impairment revaluation reversal.

• The transaction date and the impairment date are inserted and is the same for this transaction.

• If you do not provide an accounting date, the system looks for the last day of the open period and books the transaction against that date. This date is validated against the open period.

• The system commits all validations at the time of the save.

• Upon saving the worksheet, the system places the actual adjustment in the staging table INTFC_FIN.

  The system loads the adjustment in the main asset tables when the transaction loader (AMIF1000) is run.

• The system automatically triggers the transaction loader (AMIF1000) to load the transactions if this option has been selected.

• The system validates that the impairment date is less than or equal to the accounting date.

• When the impairment reversal box is checked, the system processes impairment reversal instead of impairment loss.

Running the CGU Impairment Batch Process

Access the CGU Impairment page (Asset Management, Asset Transactions, Financial Transactions, CGU Impairment).

Complete the applicable fields. When satisfied with the criteria, click Run. The batch process allocates CGU impairment data to each asset.

Request

Impairment Information

Carrying Values

The NBV is the equivalent to the carrying value.

Click the Calculate button to retrieve the current NBV for the selected assets.

Fair Value

Net Selling Price

Value In Use

Click the Calculate Impairment Loss button to compute total impairment loss.

View and Report Impairment Losses and Reversals

This section discusses how to view and report impairment losses and reversals.

Viewing Impairment Loss Online

Access the Cost and Depreciation page (Asset Management, Financial Reports, Cost and Depreciation Summary, Cost and Depreciation).

Use the Cost and Depreciation online view to review impairment transactions. Search by business, book name, and fiscal year (all required) or search by selected secondary ChartField criteria.

Select to drill down to details for each period by asset ID, accumulated depreciation account, fixed asset account, asset category, asset profile, department, operating unit, product or project.

Reporting Asset Impairment Activity

Access the Impaired Asset Value Report run control page (Asset Management, Financial Reports, Cost and Depreciation, Asset Impairment, Impaired Asset Value Report).

Enter the report criteria for the report. You can have the report output sorted by asset category or by asset CGU ID. You can see the Crystal report formats in the Reports appendix.

The business unit, impairment strategy and impairment date are required for the report.

Note. You must run the load depreciation report process for the dates on which you plan to evaluate the assets or CGU in order to perform the impairment.

See PeopleSoft Asset Management Reports.