Query
We are planning to implement the FAM module, but we have a business case where we have have 1 asset account GL1000 for all furniture. But depending on which department the purchase is booked to (ie: Operating Exp dept OR Cost of Goods Sold dept), depreciation should hit the corresponding expense account.
Is this possible to configure in FAM while only using 1 Asset account?
Asset Type: Furniture
Asset Acct: 1000
A/D Acct: 1400
Expense Account: 6000 (OpEx Depts) OR 5000 (COGS Depts)
Solution
The following accounts are already defined
Asset Account
Depreciation Account (Accumulated)
Depreciation Charge Account
Write off/down and
Disposal.
If you have existing general ledger accounts that you want to use in the FAM, you can edit your accounts to make them available for selection above.
Note that you can select any one account for each section. There is no multi-selection option to choose dept-wise accounts.
Set applicable COA’s on each FAM asset type
Instead of creating multiple Asset types. create a small workflow on FAM Asset proposal record ie. before generating the asset. put condition if the dept is Opex then the account is 6000 (OpEx Depts) or the dept is COGS then the account is 5000 (COGS dept).
I have tested the scenario it’s working fine as per your requirement. Check the below-highlighted system notes
