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Automatically calculate holding gains for vehicles and parts inventory and sales.
Holding gains reflect the gain or loss that the dealership earns simply by holding assets in its possession for a given period. This income does not arise from normal business operations, but from the fluctuation of asset values due to factors such as inflation, interest rates and market conditions.
In countries with inflation, holding gains are crucial for adjusting financial statements to reflect the true purchasing power of the dealership's assets. This adjustment helps provide a more realistic view of the dealer’s financial position.
Autologica automates the calculation of holding gains and automatically generates the corresponding journal entries. It compares the current replacement cost with the historical cost of each item and uses this difference to determine holding gains accurately.
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