Counterhouse Consultants Limited

Oracle Financials R12.x

Fixed Assets

Training Manual for Implementers I

Course Outline

1. Introduction 9. Define Prorate Convention

2. Define Fixed Assets Responsibility 10. Asset Book Setup

3. Define Category Flexfield 11. Define Depreciation Method

4. Define Asset Key Flexfield 12. Define Asset Category Combination

5. Define Location Flexfield 13. Define Location Category Combination

6. Populate the Value Sets 14. Define Asset Key Combination

7. Define System Control Parameters 15. Define Shorthand Aliases

8. Define Fiscal Year and Asset Calendar 16. Define Assets Quick Codes

17. Create Asset Descriptive Flexfields

1. Introduction

This section contains a brief overview of each task required to set up Oracle Assets. The objective of this
manual is to walk through the setup steps for Oracle Assets and discuss the limitations and options on how to
define the key setup steps to best satisfy your requirements. Oracle Assets has a highly responsive, multi-
window graphical user interface (GUI) with full point-and-click capability. You can use your mouse or keyboard
to operate graphical controls such as pull-down menus, buttons, poplists, check boxes, or tabbed regions.
2.0 Define Fixed Assets Responsibility
Define responsibility for the Oracle Fixed Asset.
Path: System Administrator>Security>Responsibility>Define
Enter the following
Field Value
Responsibility Name XXC Fixed Assets
Application Assets
Responsibility Key XXC_FIXED_ASSETS
Effective Date 01-JAN-2013
Menu FA_MAIN
Request Group Name All Reports
Application Assets

Save your work and close the form

2.2 Assign Fixed Assets to a User
Query the user and assign it to a user.
Path: System Administrator (N)>Security>User>Define

Save your work and close the form.

1. Define Category Flexfield
There are three (3) key flexfields in Oracle Assets and we must define them for the application to work effectively. The flexfields are:
 Category Flexfield
 Asset Key Flexfield
 Location Flexfield
Oracle Assets uses the category flexfield to group assets by financial information. Assets within the same category share default financial information such
as depreciation methods and asset life, although these can be overwritten at individual asset level if required. Once users have started entering assets
using the flexfield, the structure cannot be changed, although valid values for the flexfield can be added or disabled at any time. The first step is to plan the
structure of the Category Flexfield, and then to define Value Sets to hold the information that will appear in the list of values (LOV).
Path: XXC Fixed Assets>Setup>Financials>Flexfields>Key>Segments
Click on Find icon on the toolbar and select Assets, Category Flexfield from the
LOV.

Click on OK (B)
 Save your work and click on Value Set (B)
Unfreeze it and click on Segments (B)
Enter the following

Number Name Window Prompt Column Value Set

1 Major Category Major Category SEGMENT1 Major Category
Value Set
2 Minor Category Minor Category SEGMENT2 Minor Category
Value Set
Enter the following for Major Category Value Set

Save your work and click on New icon on the toolbar.

You will create a dependent minor category value set with any security. The minor
category value set will depend on the major category value set.
Field Value
Value Set Name Minor Category Value Set
Description Minor Category Value Set
List Type List of Values
Security Type No Security
Format Type Char
Maximum Size 20
Uppercase Only (a-Z) Yes
Validation Type Dependent
Click on the Edit Information (B) to enter the dependent value set information
Enter the following:

Field Value
Name Major Category Value Set
Description Major Category Value Set
Value Select an asset
Description Select an asset

Save your work before you select the minor category value set

Save your work and close the two forms.

On the segment summary window under the Value Set column, select Major
Category Value Set for Major category segment.

Save your work. Click on Flexfield Qualifiers (B) and assign the respective qualifiers.
 Place your cursor on Minor Category and open the Flexfield Qualifiers window to assign the
qualifier.

Major Category Segment qualifier save your work and close the form

Save your work and close the form.

Check the Freeze Flexfield Definition checkbox and compile.
4.0 Define Asset Key Flexfield
Oracle Assets uses the asset key flexfield to group assets by non–financial information.
Path: XXC Fixed Assets>Setup>Financials>Flexfields>Key>Segments

Click on Find icon on the toolbar and select Assets, Asset Flexfield from the LOV. Click on OK (B)
 Save your work and click on Value Set (B)

Click on Segments (B)

Enter the following:

Number Name Window Prompt Column
1 Asset key Asset Key SEGMENT1
Enter the following
Name Field
Value Set Name Asset Key Value Set
Description Asset Key Value Set
List Type List of Value
Security Type No Security
Format Type Char
Maximum Size 10
Uppercase Only (A-Z) Checked
Validation Type Independent

Assign the value set to the Asset Key Segment and save your work.

Save your work and close the form.

5. Define Location Flexfield
Oracle Assets uses the location flexfield to group assets by physical location.
Path: XXC Fixed Assets>Setup>Financials>Flexfields>Key>Segments

Click on Ok (B)

Click on Find icon on the toolbar and select Assets, Location Flexfield from the
LOV.

Click on Segment (B)

Enter the following
Field Country State City Building
Field Value Value (State) Value (City) Value (Building)
Value Set Name FA Location FA Location State FA Location City FA Location
(Country)
Country Value Value Set Value Set Building Value
Number 1 2 3 4
Set Set
Name Country State City Building
Description FA Location FA Location State FA Location City FA Location
Window Prompt Country State City Building
Country Value Value Set Value Set Building Value
Column SEGMENT1 SEGMENT2 SEGMENT3 SEGMENT4
Set Set
List Type List of Values List of Values List of Values List of Values
Security Type No Security No Security No Security No Security
Format Type Char Char Char Char
Maximum Size 10 10 10 10
Uppercase Only Yes Yes Yes Yes
(A-Z)

Save your work and click on Value Set (B)

Enter the following

Save your work and define value sets for state, city and building.
 Close the form and assign the value sets to their respective segments. Save your work and close the form.

Save your work. Place your cursor on the state segment and enable the qualifier

Freeze the flexfield definition and compile.

6.0 Populate the Value Sets
You will have to populate the value sets you created with the correct values.
Search for value sets and populate them accordingly.
Populate the value set as shown in the screen below
Path: XXC Fixed Assets>Setup>Financials>Flexfields>Key>Value

Check the Value set radio button and enter the following data. Save your work.
Place the cursor on Name field and click on find icon on the toolbar.
To populate a dependent value set, you have to query the name of the value set
and the also select the appropriate independent value. For example, to populate
all automobiles, we will select Minor Category value set in the name field and
select Automobiles as Independent value.

Save your work.

Click on Find (B) and populate the set.

Place your cursor on Name field and click on find icon on the toolbar

Change the independent value to Computer and click on find (B) to populate
Computer dependent value set.
Save your work.
Repeat the same steps for others.
7.0 Define System Control Parameters
Use this form to specify your company name, asset numbering scheme, and
attach the three key flexfield structures.
Path: XXC Fixed Assets (N)>Setup>Asset System>System Control
Enter the following
Field Value
Enterprise Name XXCOUNTERHOUSE
Oldest Date Place in Service 01-Jan-1980
Category Flexfield Category Flexfield
Location Flexfield Location Flexfield
Asset key Flexfield Asset key Flexfield
Starting Asset Number 1

Save your work and close the form.

8.0 Define Fiscal Year and Asset Calendar
8.1 Define Fiscal Year Calendar
Specify the start and end dates of each fiscal year for a fiscal year name. Create
fiscal years from the oldest date placed in service through at least one fiscal year
beyond the current fiscal year. Depreciation will fail if the current fiscal year is the
last fiscal year. You can set up multiple fiscal years in this window. You can assign
different fiscal years to your different corporate books. The calendar for a tax
book must use the same fiscal year name as the calendar for the associated tax
book.
Path: XXC Fixed Assets (N)>Setup>Asset System>Fiscal Year
Enter the following
Field Value
Fiscal Year Name XXC Asset Fiscal Year
Description XXC Asset Fiscal Year

Save your work and enter

From Date To Date Mid Year Start date Fiscal year

01-Jan-1980 31-Dec-1980 1980
Save your work and close the form.
Then press arrow down key, the system will automatically generate other details.
8.2 Define Asset Calendar
You can set up as many calendars as you need. Each book you set up requires a
depreciation calendar and a prorate calendar. The depreciation calendar
determines the number of accounting periods in a fiscal year, and the prorate
calendar determines the number of prorate periods in your fiscal year. You can
use one calendar for multiple depreciation books, and as both the depreciation
and prorate calendar for a book.
Path: XXC Fixed Assets (N)>Setup>Asset System>Calendar
The fiscal periods in Oracle Assets must be in line with those in Oracle General
Ledger. The period name in Oracle Assets must exactly match that in Oracle
General Ledger otherwise users will not be able to create and post journal entries
from Assets to GL.
Enter the dates as shown in the screen below

Save your work and close the form.

9.0 Define Prorate Convention
This form is used to define prorate conventions i.e. the date on which an asset
will start to be depreciated. You can set up or review prorate and retirement
conventions in the Prorate Conventions window.
Path: XXC Asset Fixed (N)>Setup>Asset System>Prorate Convention
You must initially set up all your prorate conventions from the convention period
corresponding to the oldest date placed in service through the end of the current
fiscal year. At the end of each fiscal year, Oracle Assets automatically sets up your
prorate conventions for the next fiscal year.

Save your work. And close the form. You can define as many prorate convention as needed.
10. Asset Book Setup
Use this form to set up links to the Fixed Asset Calendar, establish Accounting Choose Accounting Rule (T) and check the necessary rules as required
Rules, link to General Ledger accounts and links to Journal Categories.
Path: XXC Fixed Assets (N)>Setup> Asset System>Book Control
Field Value
Book XXC FA BOOK
Description XXC FIXED ASSETS CONTROL
Class Corporate
Calendar (T)
Inactive On No
Ledger XXCOUNTERHOUSE PRIMARY LEDGER
Allow GL Posting Yes
Depreciation Calendar XXC FA Calendar
Prorate Calendar XXC FA Calendar
Current Period Sep-13
Divide Depreciation Evenly
Depreciate if Retired in First Year Yes
Choose Natural Account (T)
By default, Oracle Assets creates journal entries without cost center level detail
for all accounts except the depreciation expense account. Using the default
assignments, it creates journal entries using the balancing segment from the
expense account in the Assignments window and the account segment from the
asset category or book, depending on the account type. Oracle Assets uses the
other segments from the default segment values you enter for the book in this
field.
Enter the following information

Field Value
Book XXC FA BOOK
Description XXC FIXED ASSETS BOOK CONTROL
Retirement Accounts
Gain Loss Clearing
Proceed of sale 2003 3006 4003
Cost of Removal 3003 4003 4003
Net Book Value 5006 3003
Reval reserve Retired 5004 3009
Deferred Depreciation Reserve 4005
Deferred depreciation Expense 3013
Depreciation Adjustment 3013
Account Generator Defaults 01.01.4000

Save your work and close the form

11. Define Depreciation Method
Use this window to define various depreciation methods for your assets. If you
are defining a depreciation method other than straight line method that warrants
rate, you must enter rates that fully depreciate an asset over its life. If you specify
a calculation basis rule of Cost, the sum of all the years' rates for each period
must be one. If you specify a calculation basis rule of NBV, the rate for the last
year of life for each period must be one and all the other rates must be between
zero and one.
Path: XXC Fixed Asset (N)>Setup>Depreciation>Method
Enter the following

Field Value
Method XXC STL
Description XXC Straight Line Method
Method type Calculated
Calculation Basis Cost
Depreciable Basis Rule Nil
Depreciate in Year Retired Yes
Exclude Salvage Value No
Straight Line Method Yes
Life Years Save your work and close the form.
Months 1
Prorate Period Per year
12.0 Define Asset Category Combination
This screen is used to link asset category (i.e. assets that have been grouped
together) to their relevant general ledger accounts. Only category combinations
entered in this form can be used when creating an asset at the front-end. For
example, you can use this form to link “AUTOMOBILES.CARS” to Car Asset account
in the General ledger.
Path: XXC Fixed Asset (N)>Setup>Asset System>Asset categories
Enter the following

Field Name
Category AUTOMOBILES.BUS (this is asset combination
name)
Description Bus
Category Type Non-Lease
Ownership Owned
Property Type Real
Enabled Yes
Capitalize Yes
In physical Inventory Yes
General Ledger Accounts
Book XXC FA BOOK Click on Default Rules (B) to enter default depreciation rules
Asset Cost 01.01.5004
Asset Clearing 01.01.5013
Depreciation Expense 01.01.3013
Accumulated Depreciation 01.01.4004
Bonus Expense 01.01.3013
Bonus Reserve 01.01.4004
Enter the required information as shown in the screen below

Save your work and also define for all other asset categories.
13. Define Location Category Combination 14.0 Define Asset Key Combination
Use this window to define valid combinations of locations. If you disable dynamic Oracle Assets uses the asset key flexfield to group assets by non–financial
insertion (which is recommended to avoid error) then all valid location information.
combinations must be defined within this form. If a user selects a combination
Path: XXC Fixed Asset (N)>Setup>Asset System>Asset Keys
that is not included in this form an error message will be displayed informing the
user to select a valid combination.
Path: XXC Fixed Asset (N)>Setup>Asset System>Locations
Make the necessary location combination as shown in the screen below

Save your work and close the form.

Save your work and close the form

15.0 Define Shorthand Aliases
Aliases are created to represent full or partial code combinations, and hence provide a
shorthand way of entering segment information. Where they represent partial codes, entering
the alias invokes a partially completed pop-up in which the missing parts of the code are then
entered.
Path: XXC Fixed Assets (N)>Setup>Financials>Flexfields>key>Aliases

Select Asset Location Flexfield and click on Ok (B)

Enter the alias “VI” click on the template field and combine the correct flexfield segment values

Click on Find icon on the toolbar

Save your work. You can also define aliases for asset categories following the same steps.
Save your work and close the form.
16. Define Assets Quick Codes
Use this window to enter QuickCode values i.e. assets descriptions. These values appear in Lists of Values throughout Oracle Assets.
Path: XXC Fixed Asset (N)>Setup>Asset System>QuickCodes
Click on Find icon on the toolbar
Press F11+Ctrl Keys on your keyboard and scroll to “ASSET DESCIPTION”
Then enter the information as shown in the screen below

Save your work.

17.0 Create Asset Descriptive Flexfields
You may need to define descriptive flexfields to capture additional information of the assets.
Some additional information are common but in some cases, the type of additional information
to be captured may differ from one asset category to another. The additional information on
automobiles (e.g. chassis number, vehicle number, etc.) are different from computer (product
key, IMEI, etc.). For the purpose of this study, we will define a common descriptive flexfield for
all assets and unique flexfield for automobiles and computers.
You must plan your descriptive value sets before you start configuration. We will define
descriptive flexfield to capture ISO Number and Supplier’s Name.

17.1 Define General (Global Data Element) Descriptive Flexfield

17.1.1 Define Value Set
Path: XXC Fixed Asset (N)>Financials>Flexfield>Validation>Set
Enter the following
Field ISO Values Supplier’s Name Value
Value Set Name XXC FA ISO Number XXC FA Supplier Name
Description XXC Fixed Asset International XXC Fixed Asset Supplier
Standard Organization Number Name
List Type List of Values List of Values
Security Type No Security No Security
Format Type Car Char
Maximum Size 10 25
Uppercase Only (A-Z) Yes Yes
Validation Type None None

Save your work and close the form. Since the value set validation type is none, we are not going
to populate the value sets.
17.1.2 Identify the Descriptive Flexfield Window
You must identify the form on which the descriptive flexfield will reside. In this case, we want
to configure the descriptive flexfields on the asset workbench form. So, open the asset
workbench form.
Path: XXC Fixed Asset (N)>Assets>Asset Workbench

The screen above is where we want to configure the flexfields. We will make use of the first DFF
icon on the top right-hand corner of the form.
Place your cursor on it and follow the path below.

Click on Addition (B)

(M) -> Help ->Diagnostics -> Examine ->

On the Block field, select “$DESCRIPTIVE_FLEXFIELD$” from the LOV.

On the Field field, select ASSET.DF

The field value name will appear in the value field as shown below

Type apps as password

Click on OK (B)
From the value field copy “Asset Category” using your keyboard command and paste it in a
notepad and click on Cancel (B).
17.1.3 Define the Descriptive Flexfield Segment
Path: XXC Fixed Asset (N)>Setup>Financials>Flexfields>Descriptive>Segments

Unfreeze the flexfield segment and click on Segments (B)

Press F11 key and paste the value you copied from step 17.1.2 above in the Title field
Then press Ctrl+F11 keys
Then enter the following

Number Name Window Prompt Column Value Set

1 ISO Number ISO Number Attribute1 XXC FA ISO Number
5 Supplier Name Supplier Name Attribute2 XXC FA Supplier Name

Save your work and click on Open (B)

Uncheck “Required” for both segments. Save your work and close the form.

Freeze the flexfield segment and compile.

To test what you have configured.
Go to: XXC Fixed Asset (N)>Assets>Asset Workbench

Click on the DFF field icon, the DFF segment we configured will pop-up.

Click on Addition (B)

17.2 Define a Category-Based Descriptive Flexfield
If you want to define a descriptive flexfield for a certain asset category in addition to the
general flexfield, you will have to create a new line structure on the descriptive flexfield
segment window. For example, if you want to capture automobiles additional information like
chassis number and colour, you must configure the descriptive flexfield in such a way that it will
only pop-up when an asset category for automobile is chosen on the asset workbench.
In this case, we will define a unique descriptive flexfield for “AUTOMOBILES.BUS” category.
NB: You must copy the valid category combination name like “AUTOMOBILES.BUS” to create a
new context field value in the Descriptive Flexfield Segment window, which the system will use
to identify the category that owns the unique flexfield.

17.2.1 Define Value Set

Path: XXC Fixed Asset (N)>Financials>Flexfield>Validation>Set
Enter the following

Field Chassis Number Colour

Value Set Name XXC Chassis Number XXC Colour
Description XXC Chassis Number XXC Colour
List Type List of Values List of Values
Security Type No Security No Security
Format Type Car Char
Maximum Size 14 10

Uppercase Only (A-Z) Yes Yes

Validation Type None None

Save your work and close the form. Since the value set validation type is none, we are not going
to populate the value sets.
17.2.2 Identify the Descriptive Flexfield Window
You must identify the form on which the descriptive flexfield will reside. In this case, we want
to configure the descriptive flexfields on the asset workbench form. So, open the asset
workbench form.
Path: XXC Fixed Asset (N)>Assets>Asset Workbench

The screen above is where we want to configure the flexfields. We will make use of the first DFF
icon on the top right-hand corner of the form.

Click on Addition (B) Place your cursor on it and follow the path below.
(M) -> Help ->Diagnostics -> Examine

On the Block field, select “$DESCRIPTIVE_FLEXFIELD$” from the LOV.

On the Field field, select ASSET.DF

The field value name will appear in the value field as shown below

Type apps as password

From the value field copy “Asset Category” using your keyboard command and paste it in a notepad and
Click on OK (B) click on Cancel (B).
17.2.3 Define the Descriptive Flexfield Segment
Path: XXC Fixed Asset (N)>Setup>Financials>Flexfields>Descriptive>Segments

Press F11 key and paste the value you copied from step 17.1.2 above in the Title field Unfreeze the flexfield segment and click on the line below Global Data Elements in the Context Field
Values block.
Then press Ctrl+F11 keys
Code Name Description Enabled
AUTOMOBILES.BUS AUTOMOBILES.BUS Automobiles Bus Yes
Please note that the code and name value in the table above is the valid category combination name of
the asset category that owns the unique flexfield.

Save your work and click on Open (B) to uncheck “Required” radio button for both segments

Click on the Segment (B)

Enter the following

Number Name Window Column Value Set Displayed Enabled
Prompt
1 Chassis Chassis ATTRIBUTE XXC Chassis Yes Yes
Number Number 3 Number
2 Colour Colour ATTRIBUTE XXC Colour Yes Yes
4

Save your work and close the two forms.

Check Freeze Flexfield Definition box and compile.
 Click on Additions (B)
17.2.4 Test the Definition
We will test the descriptive flexfield definition by entering two assets, one with “AUTOMOBILE.BUS” Enter the following
category and the other with “COMPUTER.DESKTOP” category to see the type of flexfield form that will Field Value
display. The “COMPUTER.DESKTOP”” category is expected to display the following fields: Tag Number XXC/COM/01
 ISO Number Description HP 620 Laptop
 Supplier Name Category Major: Computer
Minor: Laptop
While “AUTOMOBILE.BUS” will display: Press Tab key to see the DFF form
 ISO Number
 Supplier Name
 Chassis Number
 Colour

1. Computer Category

Path: XXC Fixed Asset (N)>Assets>Asset Workbench

The only descriptive flexfields displayed are “ISO Number” and “Supplier Name” which are global
descriptive flexfields.
2. Automobile Bus Category
Press Tab key to see the DFF form
Path: XXC Fixed Asset (N)>Assets>Asset Workbench

Click on Additions (B)

Enter the following

Field Value
Tag Number XXC/AUT/BUS/02
Description
Category Major: Automobiles
Minor: Bus Both the global and unique DFFs are displayed.