You have set up a capital projects “Building Construction” with task “Block A.” Which method
should be used to capitalize the transactions charged to “Block A” with the expenditure type
“Construction Costs” and expense the transactions charged to “Block A” with the expenditure type
“Overheads”?
A.
In the Expenditure type setup, mark”Overheads”as Non-capitalizable.
B.
Set up transaction controls at the”Block A”task to make”Overheads”Non-capitalizabale.
C.
Define the”Block A”task as Non-capitalizable.
D.
Exclude”Overheads”from Capitalization in Asset assignments.
E.
Use Asset Lines Processing Extension.
Explanation:
Capitalizable to Non-Capitalizable or Non-Capitalizable to Capitalizable
You can mark a capitalizable expenditure item as non-capitalizable, or vice versa. A capitalizable
item can be grouped into an asset line you send to Oracle Assets. A non-capitalizable item cannot
become an asset cost in Oracle Assets.
You can define tasks as capitalizable or non-capitalizable; you can further specify which items are
non-capitalizable using transaction controls.
Types of Expenditure Item Adjustments