OUM

Business Process Design

Fixed Assets

Author: Muhammad Zubair Jamil

Creation Date: 07 March 2021
Last Updated: 07 March 2021
Version: 1.0
Status: Draft

Approvals:

Client Project Manager

APPSLINK Project Manager

Page 1 of 35
Document Control

Change Record

Date Author Version Change Reference

08-Jun-2020
07-Mar-2021 Waheed Arshad
Muhammad Zubair Jamil Draft
Draft 1.0
1.0

Reviewers

Name Position

Tasweer ur Rehman

Distribution

Name Position Location

1 Library Master
2 PMO
3 Financial Team

Note to Holders:
If you receive an electronic copy of this document and print it out, please write your name
on the equivalent of the cover page, for document control purposes.
If you receive a hard copy of this document, please write your name on the front cover, for
document control purposes.

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Contents
PURPOSE ......................................................................................................................... 4
ASSET SETUP ................................................................................................................... 5
GENERAL ............................................................................................................................. 5
ASSET CATEGORIES ................................................................................................................ 8
OTHER................................................................................................................................. 9
PROPOSED ASSET CATEGORY STRUCTURE .................................................................... 10
PROPOSED ASSET LOCATION STRUCTURE ..................................................................... 10
ASSET LIFE CYCLE MANAGEMENT.................................................................................. 11
FIXED ASSET CYCLE – ORACLE PROCESS FLOW........................................................................... 13
TRANSACTION PROCESSING .......................................................................................... 14
TRANSACTIONS.................................................................................................................... 14
CAPITALIZING/ADJUSTING ASSET .................................................................................. 16
CAPITALIZED ASSETS / COST ADJUSTMENT FROM ACCOUNTS PAYABLES – ORACLE PROCESS FLOW ..... 17
CAPITALIZED ASSETS / COST ADJUSTMENT FROM PROJECT COSTING – ORACLE PROCESS FLOW .......... 18
CIP ASSETS CAPITALIZATION – ORACLE PROCESS FLOW .............................................................. 19
FIXED ASSETS TRANSFERS IN ORACLE ASSETS ............................................................... 20
FIXED ASSET TRANSFERS / REASSIGNMENT – ORACLE PROCESS FLOW ........................................... 21
FIXED ASSETS ADJUSTMENTS IN ORACLE ASSETS .......................................................... 22
FIXED ASSET ADJUSTMENTS – ORACLE PROCESS OVERVIEW......................................................... 23
FIXED ASSETS REVALUATION IN ORACLE ASSETS ........................................................... 24
FIXED ASSET REVALUATION – ORACLE PROCESS OVERVIEW ......................................................... 25
FIXED ASSETS RETIREMENT IN ORACLE ASSETS ............................................................. 26
FIXED ASSET RETIREMENT – ORACLE PROCESS OVERVIEW ........................................................... 27
DEPRECIATION AND PERIOD-END PROCESSING ............................................................ 28
DEPRECIATION .................................................................................................................... 28
FIXED ASSETS DEPRECIATION IN ORACLE ...................................................................... 29
FIXED ASSET DEPRECIATION – ORACLE PROCESS OVERVIEW ........................................................ 30
FIXED ASSETS PERIOD CLOSE IN ORACLE ....................................................................... 31
FIXED ASSET PERIOD CLOSE – ORACLE PROCESS OVERVIEW ......................................................... 32
REPORTING REQUIREMENTS ......................................................................................... 33
ASSET REPORTING AND RELATED FORMATS .............................................................................. 33
MISCELLANEOUS ........................................................................................................... 33
APPLICATION CONFIGURATION QUESTIONNAIRES ....................................................... 34
OPEN AND CLOSED ISSUES ............................................................................................ 35
OPEN POINTS ..................................................................................................................... 35
CLOSED POINTS ................................................................................................................... 35
GAP LOG............................................................................................................................ 35
DESIGN FEEDBACK ............................................................................................................... 35

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Purpose
The purpose of this document is to present process flows that will be applicable to the Clients' business process in Oracle Fusion Applications.
Information gathered during the user's sessions are also made part of this design document and presented together with the Oracle Standard
Process Flows based on Modern Best Practices as applicable to the Client. The structure of the document ensures that information gathered
from the Key Users is followed by the relevant Oracle Process Flow so that the users are able to relate to the Process as per standard features
available in Oracle.

This document will become standard baseline for the configuration of all Legal Entities in scope and for the training sessions. Detailed training
material will be shared on the basis of approved design.

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No. Information Gathering Questions Answers Gap

1 Asset Setup
1.1 General
1.1.1 How Fixed Assets are recorded in system currently? Currently, we are maintaining assets in Excel sheet. We
are primarily recording below components;

− Owning Entity
− Major Category
− Data of Addition
− Cost
− Depreciation
− Accumulated Depreciation
− Net Book Value
− Location
− Useful life of Asset
− Source details such as supplier number.

1.1.2 Does your current system track asset possession by We do track our assets with respect to department and
employee, department, or cost center? employee. We maintain this information in excel.

1.1.3 How many different companies in your organization own All the companies own assets. Entities assets depreciation
fixed assets? is charged in respective books.

In Oracle Fusion, separate asset book will be created for

each entity. Assets will be secured by asset books.

1.1.4 Explain the accounting structure and reporting methods We will finalize the asset category structure and share
used to consolidate your asset cost and depreciation later. However, asset category structure will have below
expenses? segments:

− Type (Tangible/Non-tangible)
− Major Category
− Sub-Category (Dependent on Major Category)
− Future 1

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No. Information Gathering Questions Answers Gap

− Future 2
Above will be the asset category structure in Oracle Fusion
Assets.

1.1.5 Do you maintain any other types of depreciation or asset Not Applicable.
valuation books or asset tax books?

1.1.6 What are your capital budgeting requirements? Please refer to EPM discussion sessions & documents.

1.1.7 How many fixed assets do you own? How are they We are two types of assets tangible assets (low quantum)
numbered? and intangible assets (High Quantum). We want to have
automatic numbering of asset in Oracle Fusion.

1.1.8 What basic information about each asset do you store? Currently, we are maintaining assets in Excel sheet. We
are primarily recording below components;

− Owning Entity
− Major Category
− Data of Addition
− Cost
− Depreciation
− Accumulated Depreciation
− Net Book Value
− Location
− Useful life of Asset

Source details such as supplier number.

1.1.9 Do you track leased assets? Currently we do not have lease assets but in future there
could be lease assets.

1.1.10 What is your oldest date placed in service for your fixed 01-Jan-2017.
assets?

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No. Information Gathering Questions Answers Gap

Note: Oldest Date Placed in Service will be maintained as

01-Jan-2017. Assets cannot be created in system before
01-Jan-2017.

1.1.11 Do you have standard depreciation methods for your fixed We depreciate assets over its useful life. Useful life of
assets? intangible assets is based on industry standards. We will
provide you details of useful life against asset category
combination master data which we want to override at
asset level if required.

1.1.12 Do you have assets that are maintained only for tracking Yes.
purposes? (expense assets)
Note: Expense Assets will be created in Fusion with Asset
Type as ‘Expense’. Upon creation of Asset, cost would be
expensed out to relevant Expense Account. Expense
Assets will be maintained in system for tracking purposes.
Oracle Fusion Assets does not depreciate expensed assets.
Expensed Assets can be created directly in Oracle Fusion
Assets or imported from Payables Invoices. The additions
process imports Invoice Lines as an expensed line only if:

• The invoice line distribution is charged to an

Expense account
• Track as Asset is checked
• The invoice is approved
• The invoice line distribution is posted to Oracle
General Ledger from Payables
• The general ledger date on the invoice line
distribution is on or before the date you specify for
the create program

Your installation of Payables must be tied to the same

ledger as the corporate book for which you want to create
mass additions

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No. Information Gathering Questions Answers Gap

1.1.13 Do you revalue your assets? We do revalue intangible assets on regular basis. Tangible
assets are revalued on need basis.

1.1.14 What is your current location structure to identify and track We track assets with respect to department and employee.
asset’s physical location? Following would be the location structure in Oracle Assets:

− Country
− City
− Area
− Office
− Room
− Future 1

1.1.15 Do you track and group assets other than location and No.
category? What are those attributes?

1.2 Asset Categories

1.2.1 How do you categorize your fixed assets now? We will finalize the asset category structure and share
later. However, asset category structure will have below
segments:

− Type (Tangible/Non-tangible)
− Major Category
− Sub-Category (Dependent on Major Category)
− Future 1
− Future 2

Above will be the asset category structure in Oracle Fusion

Assets.

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1.3 Other
1.3.1 Which operations/processes do you want to streamline for 1. We want to system based on approval in following
Fixed Assets? scenarios:
− Asset Addition;
− Asset Reclassification;
− Asset Transfers;
− Asset impairment;
− Asset Retirement and reinstatement etc.
2. Asset transfers between projects and other group
companies.
3. In rare case, addition to be made directly (not from AP)
4. Right of use asset to be added (depreciation/interest
IFRS16) and need a process for above (link to AP)

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Proposed Asset Category Structure

Segment Qualifier Length Type Details

To Capture the Major Category of Assets. For example, Land,
Major Major
TBD Independent (Character) Furniture & Fixtures, Computers & IT Equipment, Intangible
Category Category
Assets Etc.

To capture asset sub category. For example, Server

Minor Minor Dependent on Major
TBD Equipment, Desktop etc. for Computer & IT Equipment asset
Category Category Category
major category.

Future1 TBD Independent (Character) For future use

Note: Discussion is pending with Visioneers. Refer to signed off structure document for final asset category structure.

Proposed Asset Location Structure

Segment Qualifier Length Type Details

Country TBD Independent (Character) To capture country information where asset is existing.

City TBD Independent (Character) To capture city information where asset is existing.

Area TBD Independent (Character) To capture area information where asset is existing.

Office TBD Independent (Character) To capture office information where asset is existing.

Room TBD Independent (Character) To capture room information where asset is existing.

Future 1 TBD Independent (Character) For future use

Note: Discussion is pending with Visioneers. Refer to signed off structure document for final asset location structure.

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Asset Life Cycle Management
Oracle Fusion Assets automates asset management and simplifies fixed asset accounting tasks. Oracle Fusion Assets:

➢ Uses a unified source of asset data (with data from your Oracle Fusion other applications).
➢ Provides you with visibility into your assets worldwide.
➢ Provides data security and function access.

You can streamline standard asset management tasks with automated business flows for these transactions:

➢ Asset additions
➢ Asset transfers
➢ Disposals
➢ Reclassifications
➢ Financial adjustments
➢ Legacy data conversions

The overall “Asset Acquisition to Retirement” business process flow is represented below:

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Oracle Assets directly integrates with the following applications:

➢ Oracle Fusion Payables

• Use the Create Mass Additions for Assets process to send valid invoice line distributions and associated discounts from Payables
to the Mass Additions interface table in Assets.
• Review the mass addition lines in Assets and determine whether to create assets from the lines.
• Create the assets in Assets.

➢ Oracle Fusion Projects

• Use the Generate Asset lines process to send valid line details from project costing to the Mass Additions interface table in
Assets.
• Review the mass addition lines in Assets and determine whether to create assets from the lines.
• Create the assets in Assets.

➢ Oracle Fusion Sub Ledger Accounting

• Run the Create Accounting for Assets process to create journal entries for transaction events in Assets.
• Transfer and post the journal entries to Oracle Fusion General Ledger.
• Use the accounting reports to review accounting information for your assets, and to reconcile to the general ledger.

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Fixed Asset Cycle – Oracle Process Flow
Assets Management Team / Finance and Accounts Legend:
Process owner(s)
Manual process Data Validation
System Oracle Fusion Fixed Assets Cloud , Accounts Payables Cl oud Services
Decision Start / End

Process Fixed Assets Complete Cycle Flow Document System Process

Title: Fixed Assets Complete Cycle Flow

Purchasing

Create and
Create &
Approve
Start Approve PO
Purchase
against PR
Request (PR)
Inventory

Process Receipt
against PO

AP Invoice Receive Relevant Invoice Distribution Lines will

Accounts Payables

Payables Invoice Match Invoice Be Transferred to Oracle Assets

Yes
with Receipt
Perform
Approval and Run Mass Create Mass
Accounti ng for Addition Process Addition Report
Associated Invoice
with PO
Create Non PO
No
Matched Invoice

Add cost to Run Post Mass

Already Addition Cap itali zed Add Manual
Cap itali zed Program to Asset Assets
Assets Mass Additi on Create Assets
Review / Add Existing
New Asset or Posting Report
Asset
Fixed Assets

Addition in
Information &
Existing Asset New
Assignment Assign Unique Cap ture
Manual
Multiple Tag Number and Assigned TAG Asset
Details will be defaulted Yes Split Assets Adjustments /
From Source & Asset Units Emboss it on number in Retirements
Transfers
Category Physical Asset System

Execute
Depreciation
End
and Period
Close

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No. Information Gathering Questions Answers Gap

2 Transaction Processing
2.1 Transactions
2.2.1 What is your assets retirement policy? No retirement policy as such. Assets are retired on
requirement basis.

2.2.2 Do you amortize adjustments made in the prior period over We decide as per the materiality.
the remaining useful life of the asset or do you expense the
catch- up depreciation in the current period? Note: If you change financial information after you have
run depreciation, you must choose one of the following:

• Expense: For expensed adjustments, Oracle

Fusion Assets recalculates depreciation using the
new information and expenses the entire
adjustment amount in the current period.
Expensed adjustments result in a one-time
adjusting journal entry.
• Amortize: You can set up amortized adjustments
to have a retroactive start date by changing the
default amortization start date (usually the system
date) to a date in a previous period. Any
adjustment amount missed since the amortization
start date is taken in the current period.

2.2.3 Do you want your fixed assets automatically added from Yes.
your Accounts Payable system?

2.2.4 How often do you perform physical inventories of your fixed Annually as a norm and on request basis for exceptional
assets? situations.

2.2.5 Do you record and maintain CIP assets? Yes, for both customer’s asset (building something for
customers) and owned assets.

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No. Information Gathering Questions Answers Gap

Note: In Oracle Fusion, only owned CIP assets will be

maintained.

2.2.6 How do you handle sales proceeds from retirements? Initially park it to clearing account. Later clear it using
AR/GL entry.

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Capitalizing/Adjusting Asset
Oracle Fusion Asset is fully integrated with Oracle Fusion Payables, Oracle Project Costing and allows creation of assets against supplier invoices
and projects using mass additions. The Mass Additions interface can be used to create assets from information outside of Oracle Assets. Data
can be imported into Oracle Assets through interface tables from Oracle Payables and Projects. For each supplier invoice distribution line, mass
addition line with status of “New” is created in Oracle Fusion Assets. These mass addition lines are reviewed by asset accountants, who can
perform following actions before converting those lines into assets;

• Splitting Mass Addition Lines

• Merging Mass Addition Lines
• Add to Existing Asset Cost

Once the source lines have been updated with the necessary details, Post Mass Additions request can be submitted to create assets from the
provided source line(s). Moreover, after an Asset is added to the Oracle Fixed Asset Sub Ledger, it may be necessary to make certain adjustments
over the course of the asset’s life. Adjustment can be made to asset for changes in cost. Adjustments to cost may be required if a credit invoice
is received subsequent to the initial capitalization or if an entire invoice is added to the sub ledger but a portion of the invoice represents
maintenance, which cannot be capitalized.

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Capitalized Assets / Cost Adjustment from Accounts Payables – Oracle Process Flow
Assets Management Team Legend:
Process owner(s)
Manual process Data
System Oracle Fusion Fixed Assets Cloud , Accounts Payables Cloud Services
Decision Start / End

Process Fixed Assets – Capitalize Assets / Cost Adjustment from Payables Document System Process

Title: Fixed Assets – Capitalized Assets / Cost Adjustments from Payables

Accounts Payables

Record a payables Validate invoices, Execute Process Create Mass

Start Invoice and select Create Accounting Create Mass Addition Report
Track as Asset and Post to Ledger Addition

Mass Addition
Assets details Posting Report
transfer from Add cost to Already
Existing
Payables Capitalized Asset
Fixed Assets

Review / Add Asset New Asset or

Information & Addition to Execute Post Mass
Assets Capitalized End
Assignment Existing Asset Addition Program

Prepare the assets

Details (i.e.
New
Category, Location,
Assignment)

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Capitalized Assets / Cost Adjustment from Project Costing – Oracle Process Flow
Process owner(s) Assets Management Team Legend:

Manual process Data

System Oracle Fusion Fixed Assets Cloud , Project Costing
Decision Start / End

Process Fixed Assets – Capitalize Assets / Cost Adjustment from Projects Document System Process

Title: Fixed Assets – Capitalized Assets / Cost Adjustments from Projects

Project Accountant

Create Asset Header

Import Generate Asset
Start and Provide other
Project Cost Lines
details

Mass Addition
Assets details Posting Report
transfer from Add cost to Already
Existing
Projects Capitalized Asset
Fixed Assets

Review / Add Asset New Asset or

Information & Addition to Execute Post Mass Assets Capitalized /
End
Assignment Existing Asset Addition Program CIP Asset recorded

Prepare the assets

Details (i.e.
New
Category, Location,
Assignment)

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CIP Assets Capitalization – Oracle Process Flow
Process owner(s) Assets Management Team Legend:

Manual process Data

System Oracle Fusion Fixed Assets Cloud
Decision Start / End

Process Construction in Process (CIP) Assets Capitalization Document System Process

Title: Fixed Assets – Construction in Process (CIP) Assets Capitalization

Start

Search and Select

Capitalize Construction in Change Date Capitalize
Asset Process (CIP) Placed in Service Assets
Assets
Assets Accountant

Need to Manage
Asset Capitalization

Determine
End
Action to Take

Reverse Search and Select Reverse Asset

Capitalization Capitalized Asset Capitalization

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Fixed Assets Transfers in Oracle Assets
Oracle Fusion Assets allows to transfer assets between employees, depreciation expense accounts, and locations due to many reasons during
the course of asset’s life. However, there are certain scenarios where transfers cannot be created in Oracle Fusion Assets;

• Assets cannot be transferred to a future period

• Assets cannot be transferred from one asset book to another asset book
• Assets cannot be transferred at a date prior to the date place in service.

Concerned personnel will identify the need to transfer assets and must communicate this to the Fixed Assets Team. Upon posting the transfer,
Oracle Fixed Assets will automatically create the journal entries to record the transfer e.g. depreciation that was being charged one department
will, after transfer, be charged to the department to which it is transferred. These journal entries will be transferred to GL as part of the period
close process.

Oracle provides the flexibility to transfer assets in two ways

• Transferring Single Asset; and

• Performing Mass Transfer

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Fixed Asset Transfers / Reassignment – Oracle Process Flow
Process owner(s) Assets Management Team Legend:

Manual process Data Manual Document

System Oracle Fusion Fixed Assets, Accounts Payables
Decision Start / End Database

Process Fixed Assets – Asset Transfer and Reassignment Document System Process

Title: Fixed Assets – Asset Transfer and Reassignment

Requestor

Asset Transfer
Raise Request
Start Request Form
for Fixed Asset
Project Manager /
Department Head

Raise PR & PO
No to procure asset
Asset
Available for
Transfer
Yes Transfer from
Notify Asset Review Request
Location/
Accountant for More Details
Employee

Additional Request Details

Review Transfer
Information Yes from Relevant
request Required Dept.
Asset Accountant

No

Transfer
Create Transfer Individual /
Mass Individual Asset Asset
Batch Mass Transfer
Individually Records

Asset Transfer
Validate
Report End
Transfers

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Fixed Assets Adjustments in Oracle Assets
Oracle Fusion Assets you can perform below adjustments;

➢ Change Financial Details of Assets: Perform adjustments to change information such as the asset cost, salvage information, and
depreciation information.
➢ Transfer Source Lines: Transfer source lines between capitalized assets, construction-in-process (CIP) assets, capitalized and CIP assets,
and CIP and capitalized assets.
➢ Change Asset Category: Change the asset category.

Above adjustments can be performed for an asset or you can perform mass adjustments using integrated spreadsheets.

If you change financial information after you have run depreciation, you must choose one of the following:

Expense: For expensed adjustments, Oracle Fusion Assets recalculates depreciation using the new information and expenses the entire
adjustment amount in the current period. Expensed adjustments result in a one-time adjusting journal entry

Amortize: You can set up amortized adjustments to have a retroactive start date by changing the default amortization start date (usually the
system date) to a date in a previous period. Any adjustment amount missed since the amortization start date is taken in the current period. If
you amortize an adjustment for an asset, you can't expense any future adjustments for that asset in that book.

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Fixed Asset Adjustments – Oracle Process Overview
Assets Management Team Legend:
Process owner(s)
Manual process Data Manual Document
System Oracle Fusion Fixed Assets Cloud , Accounts Payables Cloud Services
Decision Start / End Database

Process Fixed Assets – Asset Adjustments Document System Process Validation

Title: Fixed Assets – Asset Adjustments

Type of
Start Adjustment?
Yes

Change in
Transfers Change in
Financial
Source Lines Category
Details
Asset Asset
Asset Cost
Transaction Category
Adjustment
Asset Accountant

History Change

Mass or
Mass Adj Individual Single Asset Adj
Adjustment
Compare
Adjust
Create a Adjustment
Individual Variance
Batch Reports For
Asset in FA
Validity

Maintain Track of All Changes

Add Assets in
Run Create
ADFdi
Accounting
Spreadsheet No
End
Asset Records

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Fixed Assets Revaluation in Oracle Assets
Use revaluation to record assets in your asset books at their fair value. You can revalue assets to increase or decrease their carrying value
whenever there's a change in the fair market value of the asset. Normally you perform revaluation of assets with sufficient regularity to ensure
that the carrying amount doesn't differ materially from its fair value on the balance sheet date. Revaluation differs from planned depreciation,
in which the recorded decline in value of an asset is tied to its use in business activities and age.

Revaluation

After revaluation, assets are carried in the books at their fair value as of the date of the revaluation, minus any:

➢ Subsequent accumulated depreciation

➢ Subsequent accumulated impairment losses

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Fixed Asset Revaluation – Oracle Process Overview
Assets Management Team Legend:
Process owner(s)
Manual process Data Manual Document
System Oracle Fusion Fixed Assets
Decision Start / End Database

Process Fixed Assets – Asset Revaluation Document System Process Validation

Title: Fixed Assets – Asset Revalaution

Start

Need to Revalue
Assets

Enter Revaluation
Transaction
Details
Asset Accountant

Calculate Search Review Determine Select

Post Process
Revaluation Gain Revaluation Revaluation Gain Action to Revaluation
Revaluation Revaluation
or Loss Transaction or Loss Calculation Take? Transaction

Update Revaluation

Review
Verify Revaluation
Revaluation Gain
Posted
or Loss Calculation

End

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Fixed Assets Retirement in Oracle Assets
When an asset is no longer in service because, for example, it was stolen, lost, damaged, sold, or returned, you retire the asset. You can retire
an asset completely if the entire asset is no longer in service or retire only part of an asset if only part of it is no longer in service.

Retire assets using one of these methods:

➢ Full retirement: Retire all units of a multiple-unit asset or Retire the entire asset cost.
➢ Partial retirement: Retire a specified number of units of a multiple-unit asset or Retire a portion of the asset cost.

Page 26 of 35
Fixed Asset Retirement – Oracle Process Overview
Process owner(s) Assets Management Team Legend:

Manual process Data Manual Document

System Oracle Fusion Fixed Assets , Accounts Payables
Decision Start / End Database

Process Fixed Assets – Asset Retirement Document System Process Validation

Title: Fixed Assets – Asset Retirement

Start
Requestor

Yes

Submit Request to Asset Retirement

Retire / Reinstate Request Form
of Asset

Any Additional
Request more
Review Request Information Yes
Details
Required
Asset Retirement
No Report
Asset Accountant

Individual /
Mass Mass Individual
Retirement Validate
Retire / Reinstate Retirement / End
Create a Batch Assets Individually Reinstatement
Asset Transaction
History

Retire / Reinstate
Run Create
Assets Via ADFdi
Accounting
Spreadsheet Asset
Records

Page 27 of 35
3 Depreciation and Period-End Processing
3.1 Depreciation
3.1.1 What are prorate conventions being used? Month of Addition: Full Month

Month of Retirement: No depreciation charged.

Note: In Oracle two monthly conventions will be

configured.

3.1.2 What are your depreciation methods? Straight Line. In Oracle Fusion, Straight line depreciation
method will be used for depreciating assets.

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Fixed Assets Depreciation in Oracle
Run the Calculate Depreciation process to calculate depreciation for all assets in a book for a period. If depreciation isn't calculated
successfully for any assets, review the log file to determine the reason that depreciation failed.

When you run depreciation, you can either:

• Close the current period automatically after running depreciation. If all of your assets depreciate successfully, Assets closes the period
and opens the next period.
• Keep the period remains open after running depreciation.

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Fixed Asset Depreciation – Oracle Process Overview

Process owner(s) Assets Management Team Legend:

Manual process Data Manual Document

System Oracle Fusion Fixed Assets Cloud
Decision Start / End Database

Process Fixed Assets – Asset Depreciation Process Document System Process Validation

Title: Fixed Assets – Asset Depreciation Process

Start Includes Depreciation Adjustments Journal Entry

Reserve Ledger
Process What if
Review Report for Review
Depreciation Run Depreciation Run Create
Reasonableness Depreciation and
Analysis Report Process Accounting
(Optional) Journal Entries
Asset Accountant

(Optional) Detail / Summary

Reserve Report
Asset Transaction
History
Correction
Make Correction Yes
Needed

No

Yes
End Open Next Period Close Period Transfer to GL
Accountant
General

Correction Review Fixed

Post to GL No
Needed Asset Journals

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Fixed Assets Period Close in Oracle
At period-end, submit depreciation for each asset book. Create accounting for Fixed Assets transactions and transfer accounting to General
Ledger. Fixed Assets has only a single open depreciation period in each asset book. Following is highlight of period close process in Oracle Fixed
Assets:

• Create Mass Additions from Payables

• Complete all In-Progress Transactions
• Run Depreciation
• Review Sub ledger Period Close Exception Report
• Review and Post Journal Entries

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Fixed Asset Period Close – Oracle Process Overview
Process owner(s) Assets Management Team Legend:

Manual process Data Manual Document

System Oracle Fusion Fixed Assets Cloud
Decision Start / End Database

Process Fixed Assets – Asset Period Close Process Document System Process Validation

Title: Fixed Assets – Asset Period Close Process

Depreciation
Details Report
Start Journal Entry
Reserve Ledger
Complete Run Review
Run Create
Necessary Fixed Depreciation Depreciation and
Asset Transactions
Accounting
Process Journal Entries Detail /
Summary
Reserve Report
Correction
Make Correction Yes
Asset Accountant

Needed

No

Transfer to GL

Reconcile with Reconciliation

GL Reports

Open Next
End Close Period
Period

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4 Reporting Requirements
4.1 Asset Reporting and Related Formats

4.1.1 What are your monthly reporting requirements? Please Reports will be shared.
provide report templates.

5 Miscellaneous
5.1 Any other point or information to be provided which is not No
covered as part of above discussion.

Page 33 of 35
Application Configuration Questionnaires

Application Configuration Questionnaires

Note: This section to be filled by the consultant in coordination with the client.

S.NO Internal Question Answer Status

Reference

AC:1 FA: 1.1 Please specify the values: Oldest Date Placed in Service: 1 Jan 2017
Starting Asset Number:

AC:2 FA: 1.2 What is your financial year start and Refer to Legal Entity Summary list.
end date?

AC:3 FA: 1.4 How do you prorate your Refer to 3.1.1

depreciation?

Net Book Value Retired Gain:

AC:4 FA: 1.5 How do you maintain your asset Net Book Value Retired Loss:
books? Please specify the Following Proceeds of Sale Gain:
Accounts: Proceeds of Sale Loss:
Proceeds of Sale Clearing:
Cost of Removal Gain/Loss:
Deferred Depreciation Expense:
Deferred Depreciation Reserve:

AC:5 FA: 1.6 How do you maintain your assets

categories?

Page 34 of 35
Open and Closed Issues

Open Points
ID Issue Description Status Responsibility Target Date Impact Date

4.1.1 Reporting Pack to be shared Open Mr. Farid

Closed Points
ID Issue Resolution Responsibility Target Date Closed Date

1.3.1 Need System based approval for In Oracle Fusion Assets, there is no approval. However, in Visioneers/Appslink
addition, transfer, retirement, Oracle is being added through Payables, then invoices will
adjustment. be subject to approval.

Gap Log
ID Gap Description Provided Solution Response Status

Design Feedback
ID Feedback/Comments Received From Appslink Response Status Received Closed
Date Date

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