Financial accounting is important to all businesses, and IFRS (International Financial Reporting Standards), also known by previous name IAS (International Accounting Standards) direct that fixed asset accounting should be used by all companies.
Value Your Fixed Assets
The use of a fixed asset register when reporting finances is extremely important, because without one, accurate representation of the value of fixed assets is impossible. Simply recording the value of fixed assets as and when they are purchased is not enough to comply with IFRS fixed assets or IAS fixed assets for the following reasons:
• Assets depreciate – Some items, such as vehicles, can depreciate more than others, and as such, it is important to ensure the correct value is displayed on the fixed asset register. Not accounting for depreciation can cause considerable variations in the valuation of a company.
• Assets can require maintenance – Particularly with plant machinery and vehicles, the maintenance of an asset could vary hugely in cost, and this should be taken into account.
• Assets change – It is incredibly difficult to keep track of all of a company’s fixed assets without proper fixed asset management software. The difference between the assets you think you have and the assets you actually have could be great.
Meet Standards with Our Software
Fortunately, all of our fixed asset management software is suitable for complying with IAS fixed assets and IFRS fixed assets. This means it is easy for you to keep an accurate fixed asset register that is supported by the IASB (International Accounting Standards Board).
Browse our selection of software solutions online.