Equipment Cost and Maintenance

Overview

The Equipment program maintains a master equipment file which may include a variety of vehicle and non-vehicle items, such as pickup trucks, backhoes and air compressors. A user-defined classification groups together like equipment items. Information in the master file includes an identifying number, description, location, license number, classification and purchase information. An associated classification table contains the unit of measure, per hour or per mile, for operating cost calculations.

Equipment costs are accumulated from accounts payable, inventory and payroll processing and may be entered directly into the equipment program. Gasoline quantities with odometer readings may be entered from inventory, from outside fuel receipts or from an automated fuel management system. Odometer or other meter readings may also be entered directly into the system. The operating cost reports compile this information into a per-unit cost for each equipment item.

The charge distribution portion of the equipment program is independent from the cost accumulation. The charge distribution portion accepts transactions charging equipment use, as applicable, to jobs, general ledger expense or other equipment. The charge-out unit of measure and rate are obtained from the classification table by type of equipment.

Service records may be maintained for each equipment item. The classification table contains the frequency of the routine servicing requirements of various components for each equipment type. The equipment service records are combined with the service requirements in the classification table to produce an equipment maintenance schedule and servicing due report.

Inquiry

Equipment items may be accessed by number, description, location, classification, license, VIN, year, asset tag number or general ledger asset control number. A list of equipment meeting the search criteria is displayed for selection.

The selected equipment item, its usage and cost to date, pending and prior cost transactions, pending and prior charge-out transactions, maintenance schedule and maintenance history can be displayed and optionally printed. The inquiry program also maintains a comments file for each equipment item.

Equipment Master

Items in the equipment master record include description, location, classification, year, license, VIN, smog test requirement, general ledger numbers, fixed asset tag number, purchase data and retirement date. Equipment lists are available with several sort options. A list of vehicles requiring a smog test may be printed for even or odd years.

Classification Table

The classification table program allows the user to add, change, delete or print entries in the classification table. Items for each class include unit of measures for costs and charge distribution, charge-out rate and service intervals.

Operating Costs

The Operating Cost Summary report lists usage, cost and per unit cost through the requested month, year and life for each piece of equipment on file.

The Average Miles per Gallon report lists equipment items that have costs measured on a per mile basis. Odometer readings, miles driven, fuel usage and miles per gallon are reported for the requested date range.

Most cost transactions are the result of processing accounts payable, payroll and inventory. In addition, the cost transaction input program allows the user to input cost transactions.

Usage

The usage program requests the user to enter either an odometer reading or the number of hours used for each piece of equipment. This entry is needed for equipment items that do not have odometer readings entered on an on-going basis with fuel receipts. The readings are used by the operating cost report to calculate the per unit (mile or hour) cost for the month, year and life of the equipment.

Charge Distribution

The charge distribution program uses rates in the classification table to calculate charges for equipment usage. The user enters the account number to be charged and the usage in either hours or miles. The account to be charged may be a general ledger account, a job or another equipment item. An audit journal of all transactions entered may be printed prior to posting.

The posting program updates the appropriate records in general ledger, job cost and equipment cost. Offsetting entries are created to specified general ledger accounts.

Service Record

Services performed on equipment items may be entered into the service report maintenance program. Type of work and parts used are input for lubrication, motor oil, a variety of filters, tune up, transmission, differential and driveline, brakes, fluids, hoses and belts. Comments may be added as part of the service report.

The Servicing Due report is available for oil changes, tune-ups and tire rotations. An equipment item appears on the report if the odometer reading or time period since the last service is within the specified lead time in advance of the service being due.