Assets in NetSuite typically go through several stages during their lifecycle, from acquisition to disposal. These stages help organizations manage and track their assets effectively. Here are the different stages of an asset in NetSuite
- Acquisition refers to the process by which one company purchases most or all of another company’s shares or assets to gain control of that company. The asset is recorded in the system, usually through the creation of a purchase order, vendor bill, or journal entry.
- Depreciation means how much of an asset’s value has been used up over time.
- Revaluation means the asset’s book value is adjusted, which might involve an increase (revaluation) or decrease (impairment).
- Maintenance is the costs associated with maintaining or enhancing the asset are recorded, either as expenses or capitalized costs.
- Impairment: Reducing the asset’s value due to a permanent decline in recoverable value.
- Enhancement/Improvement: Increasing the asset’s value through upgrades or repairs
- Asset transfer is the process of transferring asset between departments, locations, or subsidiaries.
- Disposal of asset means no longer the asset is in use and is sold, scrapped, or otherwise disposed of. The asset is removed from the balance sheet, and any gain or loss from the disposal is recorded.