What Is Fixed Assets?

These represent property, plant, or equipment assets that are acquired for use in a business rather than for resale. They are called fixed assets because they are to be used for long periods of time.
Select this account type if you are setting up any of the following fixed assets:
• Land: property, storage space, or parking lots.
• Buildings: structures in which the business is carried out.
• Machinery: heavy equipment used to carry out business operations. For example, you may want to set up any of the following: store equipment or fixtures, factory equipment of fixtures, office equipment or fixtures (including computers and furniture), and delivery equipment (including autos, trucks, and vans used primarily in making deliveries to customers).

Closing Fixed Assets
There is not an end-of-year close program in every company. However, there are certain procedures that must be completed at the end of a tax year in Fixed Assets.
All Fixed Asset depreciations must be calculated and posted to general ledger before closing the fiscal year.
• Calculate and post fixed-asset depreciation amounts for each accounting period before closing the fiscal year