Asset Reclassification Utility
Inventory Control Menu -> Rental/Sale
Transfers -> Asset Reclassification Utility
This utility can be used to transfer a rental or sales product
to a new Rental Product number and in the process redefine the
Rental Product Class, Group, Owing Division on the Tag, and
physical inventory Location (RSIL).
Associated G/L transactions are created to move the inventory value
to the new "Inventory Asset Account" per the new Product Class, as
of the transfer date, that are posted with the Rental Journal
Transactions from Daily Close 3.
The changes to Product Class and Product Group are tracked in
the Audit Log.
Note: This utility will transfer a Sales item to a Rental, but
will not transfer a Rental back to a Sales product.
- Use Case Example:
- This processing is useful if a Rental branch of your firm
requires the use of equipment that is currently on the Sales floor
and is owned by and resides at a Sales branch of your firm.
The Asset Reclassification Utility can be used to convert
the sales product to a rentable asset and to move the equipment to
the Rental yard, complete with the relevant ownership,
reclassification, and G/L transaction updates.
To be eligible for reclassification the product number must
already exist in either Sales Inventory or
Rental Inventory with a quantity of 1 and
there can be no open documents for the product.
If the product does have multiple quantities and needs to be
reclassified, use the Transfer Sale To
Rentals utility to move a single quantity first, and then use
the Asset Reclassification Utility to redefine the owning
and classification values if required.
The prompts are:
-
- TRANSFER DATE
- Accept today's date or enter a preferred transfer action
date.
This becomes the date of the location change in View Inventory Quantity Changes, and on a Sale to
Rental reclassification this date becomes the Acquisition
date for the rental product on the new Fixed
Asset Tag that is created.
Date Range Control:
If the operator does not have the
ability to over-ride the current date range, the transfer date will
be checked to make sure the date is valid against the date ranges
set as acceptable for module RSPM in Date
Range Control.
PRODUCT
- Enter the Sales or Rental product number or select it from the
Inventory Search window.
This product number will not be changed, even if a sales product is
being converted to a rental product.
Rules for Product to be eligible for Reclassification:
- Only an existing sales product, bulk or non-bulk rental product
with a quantity of one can be selected for reclassification.
- The product cannot currently be committed on any document such
as a Sales Order, Work Order, Transfer, Warehouse Receiving,
Contract, Reservation, Invoice, or Bulk Disposal.
- When a Rental product is being reclassified, it must have only
one Fixed Asset Tag, and that tag must be active.
- When a non-serialized Sales Part is being reclassified, it must
have only a quantity of one and it is converted to a bulk rental
product with a quantity of one.
- When a Serialized Sales Part is being reclassified, it must
have only a quantity of one and it must have a serial number at the
same location to select in the Select Serial
Number window.
- When a Serialized at Time-of-Sale Sales Part is being
reclassified, it must have only a quantity of one and the serial
number must be entered in the Select Serial
Number window after the reclassification is accepted.
Current Product Values:
The current values defined for the source Sales or Rental product
are displayed for reference only, including the following:
-
- CURRENT CLASS
- This the current Product Class of the Sales or Rental product
that is to be reclassified.
- CURRENT GROUP
- This the current Group of the Sales or Rental product that is
to be reclassified.
- CURRENT ASSET ACCOUNT
- This is the G/L Asset Account as defined in the Current
Class, that will be Credited in the adjusting posting
transaction for the cost of the product when the reclassification
is accepted.
- CURRENT OWNING DIVISION
- For Rental products this is the Owning Division on the Fixed
Asset Tag, and for Sales product this is the current physical
Location.
- CURRENT LOCATION
- For both Rentals and Sales product, the current physical
Location (RSIL) of the item is displayed.
This division is assigned to the Credit transaction in the
adjusting posting entry for the cost of the Rental Product, when
the reclassification is accepted.
New Product Values:
Accept the default values or enter the preferred value as
follows:
-
- NEW GROUP
- Enter the new Group to apply, or select it from the Group Search window.
Only Groups that are designated as Rental, determined by the
Product Class assigned to them in the Groups, can be selected for the
reclassification.
NEW CLASS
- The Rental Product Class that is
associated with the New Group is displayed.
This New Class cannot be changed and will become the Product
Class for the Rental Product when the reclassification is
accepted.
NEW ASSET ACCOUNT
- The G/L Asset Account number that has been assigned to the
New Class is displayed.
This account number cannot be changed and will be Debited in the
adjusting posting transaction for the cost of the Rental Product,
when the reclassification is accepted.
NEW OWNING DIVISION
- Enter the Owning Division of the product to be assigned to the
Fixed Asset Tag.
There is no restriction on whether this is a GL or Inventory
designated division in the Divisions
table.
NEW LOCATION
- Enter the physical location where the product is to be
transferred.
This must be designated as both a GL and Inventory division in the
Divisions table, as this division is
assigned to the Debit transaction in the adjusting posting entry
for the cost of the Rental Product, when the reclassification is
accepted.
NEW METER
- For transfer or reclassification of a Rental product the meter
flag is display information and cannot be changed, but the
opportunity is provided to reset the readings when the
reclassification is accepted.
For reclassification of a Serialized Sales product to a non-bulk
Rental, select one of the following:
- Click Meter to track meter readings for this rental
equipment.
The Product Meter Information can be
captured when the reclassification is accepted.
- Click Blade to track blade usage for this rental
product.
The blade information can be captured when the reclassification is
accepted.
- Click Not Metered if usage is not tracked.
Finished?
- Click ACCEPT to proceed with the reclassification of this
product, or CANCEL to abort.
Confirmation is required.
Rates Warning:
If neither the product nor the New Group have a rental rate
structure, a warning is triggered to alert the operator for
follow-up.
Meter/Blade Information:
If the product is flagged to track meter or blade usage, one of the
following windows will be triggered to capture any change in dates
and units used.
Asset Tag Update:
- When a Rental product, bulk or non-bulk, is reclassified, a
single Fixed Asset Tag must already exist
for the product or the reclassification will be rejected.
The Owning Division on this tag will be updated with the new
value.
-
When a Sales part is being reclassified as a Rental, a new Asset
Tag is automatically created and the Set New
Asset Tag Values window is triggered to confirm the new tag
values.
The product Cost defaults from the Sales Part average cost
or from the Serialized Sales part cost.
Note: The Information Log lists the
new Tag number but not the details of it.
Location Transfer:
A record is written for the product in View
Inventory Quantity Changes to track the location transfer.
Sale to Rental Transfer:
- When a Sales product is reclassified to a Rental product, the
Product number of the Sales Part becomes the product number
of the Rental Product and all associated information is transferred
from the Sales Inventory table to the
Rental Inventory table.
- When a Serialized Sales product is reclassified to a Rental
product, the option is provided to flag the new rental product as a
blade or metered product.
- When a Serialized at Time-of-Sale Sales product is reclassified
to a Rental product, the Select Serial
Number window is triggered to capture the serial number, which
will be saved on the new Asset Tag that is created.
- A transfer record is written that is reflected in the Sales to Rental Transfer Report.
Bulk/Non-Bulk Reclassification:
When a Rental product is reclassified, the bulk or non-bulk status
is not changed.
When a Sales part is being reclassified as a Rental, it is always
converted to a bulk Rental Product with a quantity of one, unless
it is a Serialized Sales part, and then it is converted to a
non-bulk and the serial number is assigned to the new Fixed Asset
Tag.
Asset Classification Summary:
A summary of the old and new values is generated in a text format
as outlined in Information Log.
When the summary window is closed, the product classification will
be executed.
G/L Posting of Transferred Asset Value:
When a product is transferred or reclassified, G/L posting
transactions are generated to transfer the cost of the product from
the old product inventory account defined by the Current
Class to the new product inventory account defined by the
New Class.
The Divisions on the G/L posting transactions are determined by the
Current Location and the New Location defined in the
reclassification fields.
Both the G/L Asset Accounts and the Divisions are listed in the
Information Log when the reclassification
is accepted.
The following transactions are posted on the Rental Journal
Transactions Report the next time the Daily Close 3:
Credit - the Asset account per the
Old Class for the cost of the product, and the Old Location, on the
Transfer Date where the cost for:
- Sales is average cost or serial number cost (if not zero)
- Rentals is Asset Tag cost (if not zero)
Debit - the Asset account per the New Class for the same cost and
the New Location on the
Transfer Date
Topic Keyword: ASRC01 (5039)