ASSET SETUP

Configure the Asset Foundation

Create the reusable depreciation, classification, valuation, and product records before registering any physical asset.

Setup order

1. Depreciation rules
2. Asset types
3. Asset books
4. Asset products
5. Accounting and locations

Why this order matters

Asset types and products use depreciation rules. Asset registration then uses the approved type, product, book, rule, and location. Create or select each prerequisite before moving to the next section.

1. Depreciation Rules

A depreciation rule tells Pinkapple how the carrying value of an asset is reduced over time. It is selected by an asset type or an individual asset and is used when a depreciation run is created.

Open: Assets -> Setup -> Depreciation Rules -> New Depreciation Rule

Complete the rule first so the asset type can reference it.

Create these rules

Reference	Rule name	Method	Life	Convention	Tax code	Residual	Active
DEP-IT	IT Equipment - Straight Line - 3 Years	Straight Line	3 Years	Actual	Leave blank	5%	On
DEP-VEHICLE	Motor Vehicles - Straight Line - 5 Years	Straight Line	5 Years	Actual	Leave blank	10%	On
DEP-BUILDING	Commercial Buildings Straight Line	Straight Line	40 Years	Actual	Leave blank	5%	On

Why these examples are useful: IT tests predictable monthly depreciation for laptops and servers; Motor Vehicles tests a higher-value asset; Commercial Buildings supports the capital-project path.

2. Asset Types

An asset type groups similar assets and defines their classification, lifecycle, capitalization threshold, and default depreciation policy.

Open: Assets -> Setup -> Asset Types -> Add Asset Type

Select the depreciation rule created in Step 1.

Create these asset types

Reference	Type name	Category	Subtype	Lifecycle	Depreciation rule	Capitalization threshold	Active
TYPE-IT	IT Equipment	IT Equipment	IT Equipment	Standard	DEP-IT	UGX 500,000	On
TYPE-VEHICLE	Motor Vehicles	Tangible	Vehicle	Standard	DEP-VEHICLE	UGX 2,000,000	On
TYPE-BUILDING	Commercial Buildings	Infrastructure	Building	Standard	DEP-BUILDING	UGX 50,000,000	On

After saving, confirm that the type is active and approved where maker-checker approval is enabled.

3. Asset Books

An asset book stores asset values under a reporting basis. A company may use separate books for financial reporting, tax reporting, and internal management reporting.

Open: Assets -> Setup -> Asset Books -> Add Asset Book

Create only the books required by the tenant's reporting policy.

Create these books

Reference	Book name	Book type	Active
BOOK-ACCOUNTING	Uganda Financial Reporting Book - 2026	Accounting	On
BOOK-TAX	Uganda Tax Book - 2026	Tax	On
BOOK-MANAGEMENT	Uganda Management Reporting Book - 2026	Management	On

Use the tenant's approved base currency and reporting year when the form requires additional fields. Do not create a tax or management book when the tenant does not use that reporting basis.

4. Asset Products

An asset product is a reusable template for a class of individual assets. It does not represent the physical asset in the register. For example, Dell Latitude 5440 is a product, while FA-IT-001 is one physical laptop.

Open: Assets -> Setup -> Asset Products -> Add Asset Product

Link each product to the approved asset type and depreciation policy.

Create these products

Reference	Product name	Asset type	Manufacturer	Model number	End of life	End of support	Active
PRODUCT-LAPTOP	Dell Latitude 5440 - Finance Laptop	TYPE-IT	Dell	Latitude 5440	2029-12-31	2028-12-31	On
PRODUCT-SERVER	HPE ProLiant DL380 Gen11 - Application Server	TYPE-IT	Hewlett Packard Enterprise	DL380 Gen11	2032-12-31	2031-12-31	On
PRODUCT-VEHICLE	Toyota Hilux 2.8 GD-6 - Field Operations	TYPE-VEHICLE	Toyota	Hilux 2.8 GD-6 Double Cab	2035-12-31	2034-12-31	On
PRODUCT-BUILDING	Kampala Branch Office Building Shell	TYPE-BUILDING	Leave blank when not applicable	Leave blank when not applicable	Leave blank when not applicable	Leave blank when not applicable	On

5. Accounting and Locations

Complete these prerequisites before creating or maintaining asset records:

Setup area	What to confirm	Why it matters
GL Integration	Approved acquisition, depreciation, revaluation, impairment, disposal, and capitalization mappings.	Determines whether financial events can post and which accounts are used.
Disposal Methods	Tenant-approved sale, scrap, retirement, donation, loss, or other methods.	Standardizes the disposal evidence and proceeds treatment.
Locations	Head-office, server-room, fleet, and branch locations, or the tenant's approved equivalents.	Supports custody, transfer, maintenance, insurance, and verification.
Approval policy	The users and levels required for the asset entities.	Determines whether a saved record is pending or approved.

Do not invent accounting values

The target tenant must select its own approved chart of accounts, sub-ledgers, posting rules, currency, locations, and users. This guide supplies readable setup names and relationships; it does not replace the tenant's accounting policy.