6. Disposal

Fixed Assets maybe disposed off by following the disposal process.

Before initiating Fixed Asset Disposal please ensure that the Depreciation for this asset has been recorded.

Step 1:

In the View Machine Details Screen Click on the Dispose Button

The Dispose Button is displayed only if the Asset is NOT Disposed.

Step - 2:

Record the Disposal Details in the popup that is displayed.

The Sale Proceeds and the Disposal Date are required fields. The Sale Proceeds is the amount obtained (ex. any Taxes) for the Asset.

Step - 3:

After Saving the data the disposal is recorded and the Disposal Invoice and Disposal Journal Voucher is created,

The Invoice can be viewed and amended (or taxes added) in the Receivables Menu under Finance and the Disposal Journal can be viewed and amended under Vouchers in Finance.

Both documents need to be approved to complete the process.

Step 4:

The Disposal Journal contains the entries reversing the Asset Entry and the accumulated depreciation the balance is recorded in the Asset Clearing (or Profit or Ledger configured in the System)

Once the Invoice is approved and payment received on the invoice then the entire disposal cycle will be completed.