4. PERCEPCIONS DE L’ALTERITAT
4.3 LES DONES
12. Asset Cost Adjustments,
Retirements, Disposals Y N N N Asset Cost Adjustments are performed when the cost of an asset requires adjusting of cost upwards or downwards. Asset Transfers are performed when the asset is being moved between ChartFields creating IN and OUT cost rows per the ChartFields selected.
Asset Recats are performed when the asset requires a category correction. Asset Retirements are performed when the asset has been disposed of through surplus or as means of error correction
The retirement and disposal of assets is handled in PeopleSoft the same from a
transactional basis although the asset designator will specify the actual method that was used. PeopleSoft does allow the automatic retirement of assets after they have been fully depreciated but this is not a function that FAMU has chosen to use. The use of automatic depreciation is typically reserved for very high volume asset organizations and is probably not a business practice that FAMU will adopt.
During the retirement and/or disposal process within PeopleSoft, transactions are created that designate the asset as a retired/disposed (D), in-service (I) and Received but not yet in-service (A).
The disposal methods for retirements at FAMU include: 1) holding property auctions to dispose of old equipment that has been fully retired and/or disposes by the campus; 2)
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retiring assets after approvals and paperwork to denote the specific action have been received by the campus; 3) an asset is lost/stolen and the appropriate paperwork to document the loss has been completed.
For any disposition of equipment, FAMUs Property Office requires that an Asset Relocation of Property form be completed and routed through the approval process.
FAMU property will then disposition the asset as required.
Testing of this functionality includes:
• Retiring/Disposing fully depreciated asset and ensuring flow to accounting transactions
• Retiring/Disposing partially depreciated asset tracing through accounting entries
• Reinstating an asset
• Transferring a retired asset
• Recording stolen equipment with file attachment for supporting documentation FIT – Yes; FAMU uses the asset disposition processes delivered.
GAP – No
OPPORTUNITY – FAMUs business process to reconcile inventory monthly by location is a great help to ensuring a solid tracking of the assets. A reconciliation of retired/disposed assets must be completed regularly including verification that all documentation exists.
FAMU would also incorporate the use of the disposal worksheet when there are a large number of assets that require disposal. The worksheet allows capture of this information in one page instead of separately by asset.
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13. Custodian Self-Service Y Y Y Y FAMU wants to implement the use of self-service for campus property custodians to make requests for asset transfer and/or disposition/retirement online. This request would be routed to the appropriate approver(s) and then on to the Property Office for action.
The “custodian” self-service is part of the Employee and Manager Self Service menu options and allows FAMU to interactively involve the users in their business decisions.
Employee self-service allows users to enter travel and expenses, manage requisitions, and review receipt of purchased items and review/transfer assets. Manager self-service allows managers to approve POs and change requests, approve asset transfers and review departmental assets.
As the asset transfer requests are received, FAMU Property Office will track the
approvals, etc to have a complete audit trail. Laverne knows of the University of Central Florida who is doing a similar process and full details on this are required to identify what can be completed in Assets.
To setup the use of the custodian self-service:
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• Requires that emplid be assigned to each security profile for use in the searching as the custodian of record
• Requires that Property maintain the custodian information
• Must setup the asset role users to route approvals, etc.
• Must populate security profile with employee ID
Testing of this functionality includes:
• Setting up the user IDs to request the asset transfer
• Setting up the user IDs to approve the asset transfer
• Request asset transfer as employee
• Reviewing the asset transfer and entering it into Assets
• Acknowledging receipt and subsequent processing of the request
• Validation that the asset Email and appropriate worklist(s) were populated
• Verification of depreciation and accounting entries are correct
• Verify what the transfer button does; will it allow retirement requests, etc.
FIT – Yes GAP – No
OPPORTUNITY – Turning on the self-service functionality for asset property transfers will enable FAMU to electronically track the asset flow and approval process, aiding in audits and analysis.
The use of employee self-service does require that FAMU adopt a business practice and policy that enables users the authority to manage their assets through an electronic request process. After the definition and adoption of the FAMU business policy then we can setup the employee self service and train the users in the process to request asset transfers and maintenance.
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Email of an asset does require that users complete the “template” box. It is suggested that FAMU set up Email templates which give the generic text thus eliminating the need for users to complete the text related to the asset email each time.
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14. Month-End Y Y N N FAMUs month-end process should be run at the end of every month to ensure timely and accurate reporting of balance sheet and expense transactions. The process includes:
• Recording the asset additions, retirements, transfers, etc.
• Reconciling the assets to AP and resolving any discrepancies
• Reviewing and modifying assets in the Open_Trans tables
• Running the depreciation calculation, depreciation close and accounting entry creation
• Reviewing the ps_dist_ln to ensure the accounting entries are created correctly.
Testing of this functionality includes:
• Ensure assets from AP all come as anticipated; train users in entering all asset information from AP if this is one reason that Assets have not come through (run query to determine AP transactions that have partial asset information completed)
• Review the Open transactions that are open for processing. The Open_Trans is a “to do” list for depreciation, accounting entry creation and the load of the
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depreciation reporting table.
• Process depreciation running the amdpcalc process. This process will create the depreciation entries on the ps_depreciation table for any assets that are in-service and have remaining depreciation to be booked. PeopleSoft stores the depreciation results by fiscal year based on the useful life of the assets;
the results of the process are then used as monthly depreciation journal entries to GL. As changes are made to the asset information (such as useful life or convention) the asset adjustments are reflected on the ps_depreciation table with a transaction type of PDP.
• Process accounting entry creation to create non-depreciation accounting entries for GL. The accounting entry creation create the accounting entries for non-depreciation items such as adds and retirements.
• Run the depreciation month-end close process which creates the depreciation expense accounting entries. This process can only be run once a month and CANNOT be run after the journal generator has been run. If journal generator HAS NOT been run, then depreciation close can be rerun.
• Run journal generator to feed the summarized accounting details to the General Ledger.
• Reconcile the assets accounts to AP to ensure all assets expected have been accounted for; this is a double check of the reconciliation process the
Property Office does.
FIT – Yes; FAMU chose not to run the asset month-end close process starting in
November 2006 and a catch- up entry was required in February 2008 to bring the assets current.
GAP – No
OPPORTUNITY – FAMU must run the month-end close for assets regardless of any issues with life, convention, etc. The catch up for any anomalies that are encountered can then be resolved in a way that has less impact on the financial statements.
Some of the ways to ease the month-end processing and subsequent reconciliation are to implement the use of the delivered AP to Assets reconciliation report. This will identify areas in which AP and Assets do not tie and require reconciliation either by booking an asset that was missed and/or reclassifying information that was booked erroneously to AP using a journal voucher.
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15. Assets Archive Y N N Y FAMU does not currently archive the asset data due to the low volume of assets that they