When a credit union has purchased a fixed asset, the value of that asset is posted to nominal code "1020 - Fixed asset additions at cost". However this account represent the sum of all fixed assets and it is important that a subsidiary register of fixed assets is maintained. It is within this subsidiary register that we retain information such as depreciation method and percentage so that the automatic depreciation can be calculated.
Each item on the fixed asset register will be assigned a number, which will be incorporated into a category depending on the categories first and last asset numbers.