Default Values

This tab references all device types and their default values that are needed for any type of calculation by the financial asset management module.

Parameter

Description

Device Type

The device type of the asset.

Residual Value

Enter into this field the currently remaining value of the asset. The residual value is an estimate of the value of the asset at the time it is sold or disposed of; it may be zero. Residual value is also known as scrap value or salvage value.

Estimated Useful Life of Asset (months)

Enter the number of months that this asset is supposed to work in your network.

Depreciation Type

The method used to calculate the costs:

  • Straight Line : the most often used method, in which the company estimates the residual value of the asset at the end of the period during which it is used to generate revenues (useful life) and expenses a portion of original cost in equal increments over that period.
  • Declining Balance : the book value is multiplied by a fixed rate.
Was this page helpful? Yes No Submitting... Thank you

Comments