Depreciation Overview

A fixed asset is any asset that has a useful life and is expected to be in use for a period of time. In IntelliTrack a fixed asset has these qualities:

• a purchase cost
• an in service date
• a salvage value, which is the asset’s worth at the end of its useful life.

Depreciation Setup

For many assets (such as a vehicle, computer, or piece of specialized equipment), its value decreases over time. To account for this decrease in value, you may use a proven formula to calculate it; this is called the asset’s depreciation.

Depreciation setup in IntelliTrack involves these steps:

• enabling depreciation for the division
• setting up depreciation classes
• assigning the depreciation classes to the asset-type item
• adding the depreciation data to the asset