1. Financing Assets

2. Identifying Asset Needs Assets should be purchased that:  Increase efficiency of operation  Improve quality of produce or service delivery  Satisfy customer needs and expectations  Meet or exceed market benchmarks  Are acceptable in the workplace safety environment  Impact positively on the business finances Determining Costs Methods of Financing  Hire Purchase  Hiring/ Renting  Leasing  Purchase Taxation Arrangements and record-Keeping

3.  Components of a PAR  Name and Type of Asset  Asset description  Purchase Date  Original Cost  Opening written down value(WDV)  Depreciation Rate and Calculation Type  Depreciation Amount for the year  Accumulated Depreciation  Closing WDV  Methods and Proceeds of Disposal

4.  Reasons for Depreciation  Factors Influencing Depreciation  Calculating Depreciation ▪ Straight Line Method ▪ Diminishing Value Method  Advantages and Disadvantages

5.  As new items are acquired enter into register.  Use a code system to record assets  Record all events affecting the assets in the register.

6.  Maintenance Planning  Routine Asset Maintenance  Long-Term Asset Maintenance  Types of Maintenance  Asset Maintenance Register  (Computerised Maintenance Management System CMMS)  Scheduling Maintenance  Environmental Considerations

7.  Developing Reporting Mechanisms  Legal Compliance  Analysing Asset Performance  Asset Replacement and Disposal