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Case: The balance recorded in the Work in Progress GL account from the invoice received invoice must be transferred to Fixed Assets cost, which will then be subject to depreciation.

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                                                          Cr Current trade payables

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  • Create WIP Cost Adjustment Document- With this document, the user can manually close WIP accounts by transferring WIP costs to expense GL accounts, Construction-in-Progress, and Capital Improvements accounts, or adjust costs between WIP accounts as needed. Here, the WIP value will be transferred to Capital improvement account.

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These documents are available if the Advanced Product Costing option is activated in Administration > Settings > Production, with cost objects selected from Items, Projects, Project Tasks, and Customer Orders.

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                           Cr Work in Progress-main production

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  • Create capital improvement to fixed assets document, to transfer the balance from Capital improvement GL to the fixed asset. To know more about this document refer to Capital Improvement to Fixed assetsAssets

Go to Asset management > Management> Capital Improvements to Fixed assets

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Create a new document and input the necessary details in the main tab. Next, go to the fixed asset tab, click "Add," and select the fixed asset; most fields will be auto-filled. In the lower pane, add the expense by using the "Fill" option to automatically populate the expense details. Select the relevant expense or enter it manually if required.

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Once the expense is added, the gross cost and depreciable cost will be revised.

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