Understanding Journal Entries for Equipment Costs

This diagram illustrates the types of journal entries that affect equipment costs and how those entries are assigned to equipment:

After the system creates journal entries for the equipment costs that you enter, you post the entries to the general ledger, and then to equipment records. When you post journal entries to the general ledger, the system updates the Account Balances table (F0902). When you post to equipment records, the system updates the Asset Account Balances table (F1202). You can post journal entries to equipment records manually, or you can set up the system to post the journal entries to equipment records when you post the entries to the general ledger.

After you enter journal entries and post them to the proper accounts, you can review the costs by using a variety of programs and reports.