This service help business entities identify and count fixed assets in order to prepare a register containing the initial cost, associated annual depreciation and residual value if a decision is made to dispose of the asset.
Why business entities need to maintain fixed assets register?
In certain business entities, the fixed assets represent a material value, which should be identified in detail and maintained, and require developing policies and procedures to be applied when managing the same. Examples include educational and industrial companies, which have inventory of spare parts for machines and equipment.
What is the added value to business entities from maintaining Fixed Assets Register?
- Facilitate developing a system to continually safeguard fixed assets and ensure maintenance thereof as long as possible.
- Facilitate the stocktaking of fixed assets at any time.
- Utilize understanding of sound useful life to make decisions relating to replacement and revamping given their impact on net annual profits.
What are the services offered by Baker Tilly?
- Make recommendations to form fixed assets stocktaking committee.
- Carry out stocktaking using barcode systems and/ or manually.
- Suggest fixed assets management systems including identification, recording and tracking systems and link the same with the company’s existing accounting systems.
- Prepare reports on the stocktaking results.