fixed assets disposal scrap

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Posted on by Danila Gaudio

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Hello,

I have a difficult time finding any step by step instruction on how to book the disposal either by sale or by scraping the asset. I am reering to the fixed asset module.

Does anyone know who it works.

Thanks Danila

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Munther Nairoukh 80 on at

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i'm facing the same problem , i can't make sales of fixed asset.... any one can help ?

thanks

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M.Aamer on at

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Hi All,

I know the Disposal (Sales/Scrap) posting profile setup is not a straight forward as other Fixed Assets types.

1- Go to Fixed Assets Posting profile setup, select Disposal (sales/Scrap)

2- Select Value model, FA group, select group ID, and enter the ledger account (Fixed Assets Gain/Loss Account)

3- Press Disposal button, and select (sales/scrap)

You have to do the following steps four times starting by select value model, FA group, group ID, and post value, sales value type, ledger account, and offset account. hereunder the differences in the steps:-

1- Depreciation (prior years), the total depreciations of prior years will be reversed, ledger account is the accumulated depreciation account, the offset account is Fixed Assets Gain/Loss Account

2- Depreciation (this year) the total depreciations of this year will be reversed, ledger account is the accumulated depreciation account, the offset account is Fixed Assets Gain/Loss Account

3- Acquisition value, the acquisition value will be reversed, ledger account is fixed assets account, and the offset account is Fixed Assets Gain/Loss Account

4- Net book value, ledger account is Fixed Assets Gain/Loss Account, and offset account is Fixed Assets Gain/Loss Account

Entry will be as the following:-

Dr. Accumulated depreciation account

Dr. Fixed Assets Gain/Loss Account

Dr. Bank account

Cr. Fixed Assets Gain/Loss Account

Cr. Fixed Assets Gain/Loss Account

Cr. Fixed assets account

Make sure to validate entry, and posting profiles setup with controller, the above is working fine with my company.

Hope it helps you.

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M.Aamer on at

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Hi All,

I know the Disposal (Sales/Scrap) posting profile setup is not a straight forward as other Fixed Assets types.

1- Go to Fixed Assets Posting profile setup, select Disposal (sales/Scrap)

2- Select Value model, FA group, select group ID, and enter the ledger account (Fixed Assets Gain/Loss Account)

3- Press Disposal button, and select (sales/scrap)

You have to do the following steps four times starting by select value model, FA group, group ID, and post value, sales value type, ledger account, and offset account. hereunder the differences in the steps:-

1- Depreciation (prior years), the total depreciations of prior years will be reversed, ledger account is the accumulated depreciation account, the offset account is Fixed Assets Gain/Loss Account

2- Depreciation (this year) the total depreciations of this year will be reversed, ledger account is the accumulated depreciation account, the offset account is Fixed Assets Gain/Loss Account

3- Acquisition value, the acquisition value will be reversed, ledger account is fixed assets account, and the offset account is Fixed Assets Gain/Loss Account

4- Net book value, ledger account is Fixed Assets Gain/Loss Account, and offset account is Fixed Assets Gain/Loss Account

Entry will be as the following:-

Dr. Accumulated depreciation account

Dr. Fixed Assets Gain/Loss Account

Dr. Bank account

Cr. Fixed Assets Gain/Loss Account

Cr. Fixed Assets Gain/Loss Account

Cr. Fixed assets account

Make sure to validate entry, and posting profiles setup with controller, the above is working fine with my company.

Hope it helps you.

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Munther Nairoukh 80 on at

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Hi Mohammed, thank you very much for the explanation but could you please advise me from where I can sell the asset.

I've started the selling from General Ledger > Fixed asset then i follow your steps one by one but I found that the produced transactions are not correct.

could you please advise me if i did any thing wrong.

Thanks again!

Munther

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Community Member on at

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Munther,

You can sell the fixed asset through free text invoice (FTI) in accounts receivable. Go to Accounts receivable-->Common-->Free text invoices. Select the customer to which you are selling the fixed asset and create a new FTI. In the line view, select the Line details. Select the fixed asset number you want to sell. Post the invoice, your asset will be sold with the amount you entered at the FTI line.

I hope this will help you.

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panki0204 5 on at

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Dear All

While I am posting the disposal sale journal it showing error that depreciation prior years account doesnot exist.

But the setting is as per defined above.

Ledger account and offset account are rightly mapped.

can you suggest where the problem can be.

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Abdo Khoury 14,855 on at

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this is for Sales Disposal , what about the financial Entry resulting from the DISPOSAL / Scape

please let me know,

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Community Member on at

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Hello Danila,

Im facing the same problem. This issue was solved?

Thanks in advanced.

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lally 8 on at

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Hi All ,

Normally what would be the Fixed assets gain/loss account as we do not have have any account in the FA posting profile .

Any light on this ?

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Community Member on at

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Hello All,

Solution in MY case:

In /Fixed assets/Common/Fixed assets/Fixed assets -> select the fixed asset -> Value Models -> General tab there were a 'Posting profile' that no more exist. We changed it to a new that exists and the Post works fine.

Best Regards

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