I am new to this forum and as you will see new to Sage, you could say thrown in at the deep end but I plan on making it to the shallow end. My question today is regarding what nomical code do a put for tools? We are an aircraft engineering company and the tools have been drills, drill bits, piping etc. these will be used on practically all aircraft that needs that equipment. We have also bought trolleys to keep the tools on, motors and generators. I am not sure what code to give them or should I make a new code for them.
Any help would be gratefully appriciated for a complete newbee!
As these smaller tools are all going to be used to enable the company to do the job (i.e. they wouldn't be able to do the job without them) then I would put them as a direct expense under the 6xxx range. You could re-name one of the existing codes if you haven't got a suitable one, or create a new one. With the larger items (trolleys and generators) I would capitalise these as fixed assets in the 00xx range (0020 Plant & Machinery in my case). This is assuming that they cost a reasonable amount and are intended to be used in the business for a reasonable amount of time. (Longer than a year).
