To Dispose of an Asset

If you need to dispose of one asset, you generally use the Fixed Assets (FA303000) form.

Note: Alternatively, you can use the Asset Summary (FA402000) form to dispose of an asset.

To Dispose of an Asset

  1. Open the Fixed Assets (FA303000) form.
  2. In the Asset ID box, select the fixed asset that you want to dispose of.
  3. On the More menu (under Processing), click Dispose.
  4. In the Disposal Parameters dialog box, enter the disposal parameters:
    1. In the Disposal Date box, enter the date of the disposal.

      By default, the system uses the current business date.

    2. In the Disposal Period box, enter the financial period of the disposal.

      By default, the system uses the current financial period.

    3. Optional: In the Proceeds Amount box, type the proceeds amount that is gained as a result of the disposal.
    4. In the Disposal Method box, select the disposal method.
    5. In the Proceeds Account box, enter the account to post proceeds from the disposal of the asset.

      By default, the system uses the proceeds account specified for the asset.

    6. In the Proceeds Subaccount box, enter the subaccount to post proceeds from the disposal of the asset.

      By default, the system uses the proceeds subaccount specified for the asset.

    7. If you want to depreciate the asset up to the disposal period (in the current financial period), in the Before Disposal box, select Depreciate.
      Tip: The system can depreciate the asset automatically during disposal only if the system is configured to release all transactions automatically. You can change the settings for release of transactions on the Fixed Assets Preferences (FA101000) form. Otherwise, you need to manually depreciate the asset before disposal.
    8. If you want to suspend the asset before disposal, in the Before Disposal box, select Suspend.
    9. Optional: In the Reason box, type the reason for disposal.
  5. Click OK to dispose of the asset and close the dialog box.
  6. Release the resulting transactions as directed by your company's workflow. For more information, see To Release Fixed Asset Transactions.

The status of the disposed asset is changed from Active to Disposed. After asset disposal, the system automatically displays the following information on the General tab of the Fixed Assets form: the date of disposal, the disposal method, and the proceeds amount from the disposal of the asset.