How to record fixed asset (IT equipment) purchase/bill?
I've created a new IT Equipment Chart of Account under Other fixed assets, and turned on depreciation. It added two sub-accounts called Original cost and Depreciation. The balances are zero at the moment.
I now want to record a Bill purchase from a supplier for some assets that go into that CoA. On the bill, do I select the Original cost sub-account under the new IT Equipment CoA as the Category on the bill and enter the item amount? And will the system then automatically depreciate it over time and add a negative value into the Depreciation sub-account?