Accounting for Fixed Assets & Asset Management

2 Days Workshop

Introduction

The primary goal of this workshop is to help professionals to gain and in depth knowledge & skills in accounting & managing the fixed assets. Relevant problematic asset management cases will be analyzed and scenario solutions will be discussed in the workshop.

Course Objectives                                                                                                                                   
By the end of this course you will be able to:

  1. Understand Property, Plant And Equipment

  2. Applying Depreciation methods

  3. Reporting Depreciation in the financial statements

  4. Impact of Disposals of  property, plant and equipment

  5. Understand Cost Determination and Amortization

  6. Application of Fixed Asset Ratios

  7. Understand Fixed assets Investment Techniques & Time Value of Money 

  8. Review Asset Management from Ethics Challenge & Entrepreneurial Decision perspectives 

Methodology

Case Study & Group Discussion. 

Who Should Attend

Entrepreneurs, Business Managers, Accounting Managers, Supervisors, Executives and Managers and all professionals who are interested in Accounting for Fixed assets.

Special Feature: NOTE: Please bring laptop along

Programmed Outline

Day 1

Module 1: Property, Plant and Equipment

  • Cost Determination

  • Land

  • Land Improvements

  • Buildings

  • Machinery and Equipment

  • Lump-Sum Asset Purchase

  • Exercises

Module 2: Depreciation

  • Factors in Computing Depreciation

  • Depreciation Methods

    • Straight-Line Method

    • Units-of-Production Method

    • Double-Declining-Balance Method

  • Comparing Depreciation Methods

  • Change in Estimates for Depreciation

  • Exercises

Module 3: Reporting Depreciation

  • Additional Expenditures

  • Revenue and Capital Expenditures

  • Comparative analysis

  • Exercises

Module 4: Disposals of property, plant and equipment

  • Discarding  property, plant and equipment

  • Selling  property, plant and equipment

  • Exercises

Module 5: Cash Management  

  • Lifeblood of business – Cash Flow Statement 

  • Relationship between cash flow statement and balance sheet 

  • 3 streams of cash flow, Operating ,Investing &Financing 

  • How to determine financial health from cash flow pattern 

  • Determining if the company is using internal cash flow to finance growth or relying on external financing 


Day 2

Module 6: Working Capital 

  • Working capital defined 

  • Goals of working capital 

  • Cash conversion cycle 

Module 7: Cost Determination and Amortization

  • Patents

  • Copyrights

  • Franchises and Licenses

  • Goodwill

  • Trademarks and Trade Names

  • Other Intangible

  • Exercises

Module 8:  Fixed Asset Ratio

  • Total Asset Turnover

  • Exercises

Module 9: Fixed Asset Investment Appraisal (Case Study)

  • Calculate return on investment (ROI),

  • Calculate  net present value (NPV), internal rate of return (IRR), and payback period

  • Recommendation to proceed or reject based on financial & non financial considerations

Module 10: Asset Management – Case study 

  • Ethics Challenge

  • Entrepreneurial Decisio

Finance For Non-Finance Professionals (Simplify Simulation Excel Approach)

Finance For Non-Finance Professionals (Manufacturing sector)

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