Revaluation changes the value of an asset and usually results in an increase in the value of an asset. One of the main reasons for revaluation of an asset is to accurately reflect the fair market price of the asset. Therefore, it is sometimes necessary to decrease the value of an asset.

In Posting profiles , on the Ledger accountstab, select Revaluation, and then select Write up adjustmentor Write down adjustmentto set up postings to ledger accounts.

Revaluation, Write up adjustment, and Write down adjustmentare all adjustments to the acquisition price, and the Ledger accountfor those transactions is a balance sheet account. The Offset accountmight be different, depending on the transaction.

The most common of these three fixed asset transaction types is Write down adjustmentand the usual offset account is a profit and loss account.

Write up adjustmentis less common, and when used, Offset accountis usually a different balance sheet account.

Revaluationcan be used for both write up and write down transactions, and the reason for having revaluation as a separate transaction type is the specific functionality of revaluation proposals, which is available for this transaction type in the fixed assets journal.

To set up Revaluationfor a fixed asset, complete the following steps.

1.Set up revaluation groups in the form.