Depreciation Schedule Template by ooe82464


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									                       Subject Matter Experts (SME) – Financial

                       Asset Management
                       Wednesday, August 22, 2007 1:00 p.m. - 3:00 p.m.

Location: Department of Administration
           101 E. Wilson Street
           Room 4B (4th Floor)


          Policy
              o Review discussion from August 15th meeting
              o Discuss Risk Management Requirements

          Location Requirements
              o Level of Detail Required by State Facilities
              o Level of Detail Required by State Risk Management
              o Agency Requirements not covered by the above

          Review Data Added to Prototype System
              o Location Codes
              o Calendars
              o Asset Books
              o Asset Management Business Units

          Discuss Additional Table Setup (as far as we can get through this list)
              o Depreciation Conventions
              o Depreciation Schedules
              o Asset Categories
              o Cost Types
              o Transaction Codes
              o Accounting Entry Template Ids
              o Accounting Entry Templates
              o Asset Classes
              o Financing Codes
              o Indexes
              o Agencies
              o Asset Types
              o Asset Subtypes

The next meeting of the Asset Management sub-group is scheduled for Wednesday, September 5,
10:00 a.m. – 12:00 p.m. Department of Administration, 4th Floor

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                       Subject Matter Experts (SME) – Financial

                       Asset Management
                       Wednesday, August 22, 2007 1:00 p.m. - 3:00 p.m.

Asset Table Descriptions

The following brief descriptions relate to the tables listed on the first page of the agenda:

Depreciation Conventions – Depreciation Conventions determine when assets begin depreciating
based on their in-service date. For example there are conventions that start depreciation based on
the actual in-service date and there are conventions that start depreciation the following month.

Depreciation Schedules – Depreciation Schedules are the methods used by the system to
calculate depreciation. The default for the system is Straight-line. The other methods delivered
include Declining Balance and Sum-of-the-year’s digits.

Asset Categories – Asset Categories classify assets for accounting entry and reporting. They
typically reflect the Asset Categories on the Balance Sheet, e.g. Furniture and Fixtures, Machinery
and Equipment. Depreciable/Non-Depreciable options are indicated at this level.

Cost Types – Cost Types are optional and can be used to determine which accounts are posted to
the General Ledger. Examples are Labor, Materials, Marketing, and Overhead.

Transaction Codes – Transaction Codes are optional and can be used to identify special treatment
for a transaction. Examples are Abandoned, Cannibalized, Donated, and Scrap.

Accounting Entry Template IDs – Accounting Entry Template IDs are used to organize the
Accounting Entry Templates. They are keyed by SetID. If agency accounting entries are
standardized we could set them up in SHARE.

Accounting Entry Templates – The Accounting Entry Templates are the instructions to the system
as to how an entry is formatted. For example you specify the depreciation balance sheet and
expenditure accounts in the Accounting Entry Template. Accounting Entry Templates are created for
each Transaction Type in combination of Asset Category, Cost Type and Transaction Code. Note:
using the Cost Type or Transaction Code options increases the number of Accounting Entry

Asset Classes – Optional code used to classify assets for reporting. An example is you may have
an Asset Class of “Desk” to qualify an asset categorized as “Furniture and Fixtures.”

Financing Codes – Optional code used to help analyze debt and equity relationships for capital-
intensive and government projects. For example you could use this to indicate assets financed with
Bonding, Master Lease or Federal Funding.

Indexes – Indexes are used to calculate replacement values.

Agencies – Agency codes are optional and can be used for informational purposes. Oracle uses an
example of keeping track of registrations or licenses. As we discussed at the August 15 th meeting
this could also be used to tag assets by Institution or Campus.

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                       Subject Matter Experts (SME) – Financial

                       Asset Management
                       Wednesday, August 22, 2007 1:00 p.m. - 3:00 p.m.

Asset Types – Asset Types describe the physical nature of assets. They are delivered with the
system and include Hardware, Software, Equipment, Property, Fleet, Machinery, Furniture, Facility,
Intangible, and Other.

Asset Subtypes – Asset Subtype are used to further define the Asset Type. For example we could
define a subtype of “Laptop” to further define and asset that is a “Hardware” asset type.

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