Asset Category

An Asset Category classifies different assets of a Company.

The first step towards asset management is creating an Asset Category based on the type of assets. For example, all your desktops and laptops can be part of an Asset Category named "Electronic Equipments".

In Asset Category, you can set default a depreciation method, periodicity and depreciation related accounts, which will apply to all the assets under the category.

Note: You can also set default depreciation-related Accounts and Cost Centers in Company master.

To access the Asset Category list, go to:

Home > Asset > Assets > Asset Category

1. How to create an Asset Category

  1. Enter a name for the Asset Category.
  2. Check 'Enable Capital Work in Progress Accounting' if you want to maintain records of assets under a temporary balance sheet account instead of the corresponding asset account. To know more, visit this page.
  3. Save.

    Asset Category

1.1 Additional options when creating an Asset Category

  1. Enable Capital Work in Progress Accounting: On enabling this, accounting entry for assets under this category which a