Disposing of Assets

Asset Disposal (FAD) can automate the procedures for disposing of a selected asset or group of assets. It generates the relevant disposal postings, and reports the postings.

You must first select the assets for disposal by setting the Ready for Disposal status for each asset. See 'Selecting a Group of Assets for Disposal'.

Note:  Do not remove the asset static data if sales proceeds are to be posted after disposal. The asset sale proceeds posting does not need to contain an Asset Marker.

You can use Business Rules to set or validate analysis codes on the transactions generated by the disposal. To do this, create an Event Profile that checks for a Function Code of Asset Disposal, and use a Call Point of either 00015 Populate or 00016 Validate Analysis on System Generated Transactions.

See 'What is Asset Disposal?' for more information on the asset disposal processing.

  1. Specify this information:
    Asset Class From/To
    The asset class, or the range of asset classes, to be processed. Leave this blank either to select all assets, or if you want to select specific asset codes in the field below.
    Asset Code From/To
    The asset code, or range of assets codes, to be disposed of providing the Asset Status is set to Ready for Disposal.
    Analysis Dimension
    You can select assets for disposal according to their asset analysis dimensions. Leave it blank to select all dimensions.
    Analysis Code From/To
    These fields restrict your choice to selected analysis codes within the asset analysis dimension you have selected. Leave these blank to select all codes.
    Disposal Period From/To
    The period, or range of periods, for which you want to dispose the assets. Transactions are posted to the disposal period specified on the asset record, provided it falls within the range of periods selected here. If the disposal period on the asset record is blank, then transactions generated during the disposal are posted to the last period in the disposal period range. The disposal period on the asset record is also updated with this period.
    Profit and Loss Disposal Account
    The profit and loss account to which the disposal transactions are posted.
    Post Transactions
    Select No to report on the disposal transactions but not post them. Select Yes to post the transactions. If provisional postings are optional, you can select to post the transactions as provisional transactions.
    Remove Asset Details
    This field is displayed only if you selected to post the disposal transactions. Options available are:
    • No - select this if the asset details are not to be removed.
    • Remove Transactions - select this to remove transaction details for the disposed asset from the Fixed Assets Register. They are still accessible in Financials for account inquiries and reports.
    • Remove Transactions and Assets - select this to remove transaction and asset details from the Fixed Assets Register.
    Disposal Suspense Account
    The account to be used if any of the transactions generated by disposal have memo type accounts. To make sure the disposal journal balances, any memo accounts are replaced by this disposal suspense account.
  2. Save your changes.