Fixed Assets Accounting, Maintenance And Management

Garvey Africa Institute suggests that the increasing importance of robust accounting practices and procedures in this rapidly changing world, to ensure that fixed assets are managed and utilised effectively need not be over-emphasized. 

Globally there is a significant shift in the accounting discipline towards reinforcing the improvement of, inter alia: safeguarding, maintenance, management and disposal of  fixed assets. Accounting for and reporting on assets is vital both in the private and public sector. 

Good asset management and asset accounting are key in any business environment, particularly because some of the fixed assets such as infrastructure have enormous capital significance, hence the need for a workable generally recognised accounting practice (GRAP) in Public Finance Management (PFM).

This short course stresses that management and accounting of fixed assets covers all life-cycles of fixed assets from creation or acquisition to utilization and maintenance until renewal or disposal, hence it covers all these aspects in detail. 

The management part also includes decision making tools like NPV, IRR and other capital budget comparative tools used to decide whether to acquire, replace or refurbish assets.

Similarly, the accounting part hinges on IFRS, mainly standard number 16 for property plant and equipment, and IFRS 38 for intangibles. Furthermore, the course covers capitalization rules for fixed assets and intangibles, and rules for measuring assets at fair value. 

It also addresses various depreciation methods and assets impairment rules, measurement and accounting. Its importance is therefore, beyond doubt.

Competencies To Be Gained:

• Assets management
• Increased assets utilization
• Investment decision-making competences
• Utilization of assets information system
• Monitoring of assets performance
• Application of capitalization rules
• Accounting for assets per IFRS