Asset management is critical whether the company wants to reduce its operational and repair expenses, which are typically greater than the original capital outlay spent in buying those properties. As a result, it necessitates the implementation of an effective asset management scheme. The use of an asset ledger is one such scheme. In layman's words, an asset registry often provides a list of all properties within an entity, along with their current conditions. An asset ledger allows the company to identify its owned or rented properties, their corresponding asset stocks, the current asset life-cycle values, their positions, and the people in charge. As a result, the organization can efficiently plan for their replacements as and when the needs arose. However, to achieve this, organization ought to maintain an up-to-date register.
The nature of the asset register to be maintained by a particular organization is squarely vested on the nature of the organization itself, the size, as well as the scope and value of asset portfolio at stake. In other words, it is impossible to standardize the nature of the asset register. However, whatever form the asset register take, it must serve the above outlined purposes. With the inception of technology, perhaps it will be hard to find a manually kept asset register. But whether manual or electron, the asset registers must contain the following fundamental details; the name of the asset, date of purchase, purchase price (original cost), supplier details, make, model and manufacturers serial number (if any), location of the asset, an estimate of the residual value and the estimated life, depreciation details including depreciation method, accumulated depreciation and written down value, insurance cover, repairs and maintenance records, as well as disposal details including method of disposal, date of disposal and proceeds of disposal.
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