Block a Dimension - AX 2009

In some cases, a business may require to block an existing dimension from being selected while posting a transaction. It can be a temporary or a permanent requirement.

While the AX system does not allow users to delete dimensions once transactions are posted with the dimension, it does allow blocking the dimension from being selected.

Path: General Ledger >> Common Forms >> Dimensions

Select the Dimension from the drop-down in the header section of the form. Filter for the particular dimension value that needs to be blocked in the Line level of the form.

Check the closed check box.

The users will not be able to select or view the closed dimension at postings.

Note: In cases where a new dimension is created and assigned in the Dimension Structure appropriately, yet the user is unable to select the dimension, it is advised to check if the dimension is set to closed in the Dimensions Master.

Inventory to Fixed Asset Journal

There is quite some confusion with regards to how a Fixed Asset can be bought in without creating a Vendor Liability again (the asset is bought, but not marked as a Fixed Asset at purchase).

This post is an attempt to simplify the Inventory to Fixed Asset Journal usage.

There are 2 main Journals that are used to post Fixed Asset adjustments, depending on the scenario:

- Inventory to Fixed Asset Journal

- Fixed Asset Journal.

The Inventory to Fixed Asset Journal is used when an asset that is already bought in, needs to be added to the FA master – here there will be no additional Vendor Liability that will be booked. In essence, it is used to move an already purchased item into the FA master

The Inventory to FA Journal picks the price from the Item master (Inventory management >> Common >> Item Details >> On-hand button >> Cost Price). The price on the Item master is available once the item is purchased/ brought into the inventory, in the system. Even if there is a different cost/ price specified on the Journal, it will be over-ridden by the cost on the item master. The system does not consider the amount on the Journal; it is picked from the Item master.

The Fixed Asset Journal is used for any sort of adjustment to be made to the posted Fixed Assets.

For example: to post an acquisition adjustment, the user must use the Fixed Asset Journal and post the entry. The system will then pick the price mentioned on the Journal, and the cost will be updated accordingly.

Scenario for reference:

Case 1:

-  Purchased Item (XYZ) at USD 500 without checking the New Fixed Asset check box in the Purchase Order

-  System adds inventory for the item, but FA is not created.

-  Invoice is posted, therefore a Vendor Liability is already created for the Asset.

The asset cannot be purchased again, as it will create another Vendor Liability in the system and this is not acceptable. 

To make this item a Fixed Asset, use the Inventory to FA Journal and transfer the item to the FA Master. The cost will be picked from the Item Master and no additional liability will be booked.

Another way is to create a credit note for the PO and then raise it again. But this becomes cumbersome if there are multiple currencies involved (exchange adjustments must be considered) or if the period is already closed. 

Case 2:

-          Purchased Item (ABC) at USD 650, by checking the New FA check box.

-          System creates a FA in the Master and the cost is USD 650

-          Additional charges were incurred at USD 150

These costs need to be loaded on the FA itself, considering they were incurred as a part of the purchase of the FA. These costs are added to the FA using the FA Journal, with transaction type Acquisition Adjustment. It will create a new transaction line in the FA transactions as Acquisition adjustment.

The total value of the FA will be the acquisition cost + the adjustment (USD 800 in this case). The depreciation will be calculated on the total cost and not just the acquisition cost of the Asset.