This policy outlines procedures for acquiring, disposing, capitalizing, depreciating, transferring and maintaining control of capital assets. It applies to all capital equipment with a value higher than the value specified by the company and with a useful life greater than one year. Also included in this document are sample forms for capital asset requisition and asset disposition.
The policy sets the tone that proper control procedures should be followed for all capital asset acquisitions, transfers and dispositions in order to provide internal control of capital equipment and to assist in reporting. Departmental managers are responsible and accountable for furniture, equipment, machinery and any other capital assets.