Which of the following is the first step in registering assets to the fixed asset register in Xero?

Which of the following is the first step in registering assets to the fixed asset register in Xero?

• A. Select the Draft tab
• B. Calculate depreciation
• C. Link the asset with a purchase transaction
• D. Enter opening balances

Answer: (A)

The first step in registering assets to the fixed asset register in Xero is to select the Draft tab. This is where users begin the process of adding a new asset. The Draft tab is an area for users to create and manage their new asset entries before they are finalized and moved to the active register. By selecting the Draft tab, users can input essential details about the asset, such as its description, purchase date, and value. This step is crucial as it serves as the foundation for entering asset information before performing other actions, such as linking the asset to a purchase transaction or calculating depreciation. Once the asset entry is drafted and all necessary information is provided, it can then proceed to the subsequent stages, such as linking it to a purchase transaction or entering opening balances. Thus, starting with the Draft tab is essential for ensuring that all required asset information is captured systematically.

The first step in registering assets to the fixed asset register in Xero is to select the Draft tab. This is where users begin the process of adding a new asset. The Draft tab is an area for users to create and manage their new asset entries before they are finalized and moved to the active register.

By selecting the Draft tab, users can input essential details about the asset, such as its description, purchase date, and value. This step is crucial as it serves as the foundation for entering asset information before performing other actions, such as linking the asset to a purchase transaction or calculating depreciation.

Once the asset entry is drafted and all necessary information is provided, it can then proceed to the subsequent stages, such as linking it to a purchase transaction or entering opening balances. Thus, starting with the Draft tab is essential for ensuring that all required asset information is captured systematically.