A Fixed Assets Journal Entry is a record of the purchase and subsequent depreciation of an asset over its useful lifespan. It’s important to track your business assets with accuracy, as this information can be used for financial planning and analysis, as well as tax reporting. To properly account for fixed assets, you’ll need to include information like the cost accrued during acquisition, estimated life and any associated costs such as delivery or installation. As depreciation occurs and the value of the asset decreases over time, accurate records should be kept in the Fixed Assets Journal Entry to reflect the changing value of the asset. This information is important for staying on top of accounting and preparing accurate financial statements.