Fund Based Accounting In Fusion Assets (Doc ID 2207496.1)

Last updated on JUNE 20, 2017

Applies to:

Oracle Fusion Assets - Version 11.1.11.1.0 and later
Oracle Fusion Assets Cloud Service - Version 11.1.11.1.0 and later
Information in this document applies to any platform.

Goal

On : 11.1.11.1.0 version, Acquire Assets-Record Asset Acquisition


If one refers to page 98 of user guide it specifies following:
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Use fund-based accounting to revalue assets as per the UK local authority or Statement of Recommended Accounting
Practice (SORP) requirements.

Account for the following in the capital fund or capital adjustment account:
• Funds allocated to capital asset purchases
• Utilization of capital assets in operation
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Reading above statement, both capital purchases and capital utilization is accounted for capital fund. However, this further the guide specifies following:
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Oracle Fusion Assets:
• Automatically moves the asset cost amortization, impairment loss, and other cost write-offs charged to the income
and expenditure account, from the general fund to the capital fund or capital adjustment account.
• Charges the amortization of revaluation reserve directly to the capital adjustment account.
• Creates the following additional accounting entry for any charge to the income and expenditure account:
• Dr Capital Fund or Capital Adjustment Account
• Cr General Fund
-------------------------------------------------------------------

Above paragraph specifies more about utilization and not purchases

How is the fund accounting recorded to meet UK local requirements?
 

Solution

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