1. Accounting
  2. Fixed Assets Management
  3. Managing Assets
  4. Asset Disposal by Sale or Write-Off
  5. Selling an Asset

Selling an Asset

When you sell an asset, you enter the proceeds and post the difference between its net book value and the proceeds from the sale to the general ledger. The system creates a sales invoice using the Disposal Item and sets the asset status to Disposed.

To sell an asset:

  1. Go to Fixed Assets > Transactions > Asset Disposal.

  2. In the Primary Information section, enter values for the following fields:

    • Disposal Type – Select Sale.

    • Disposal Date – Enter a posting date for the disposal.

    • Consolidate Line Items on Invoice – Check this box to combine the sales amount of all assets for disposal into a single line item on the invoice. Clear this box to itemize each asset for disposal on the invoice.

    • Customer – Select the buyer of the asset.

    • Sales Tax Code – Select the tax code that applies to this sale.

      Note:

      If SuiteTax is enabled on your account, the SuiteTax engine automatically sets the tax code on the invoice. This field is not available if you're using SuiteTax. For more information, see General SuiteTax Topics.

    • Sale Item – Select the sale item that appears on the invoice.

      Note:

      The Sale Item list is unfiltered and may include items not valid for sale. If you select an invalid item, an error prompts you to select a valid sale item.

    Note:

    For OneWorld accounts, the customer, asset, sales tax code, and sale item must have the same subsidiary.

  3. On the Disposal Details field group, enter values for the following fields:

    • Asset ID/Name – Select the asset by name or ID. You can enter a simple, compound, or component asset.

      Note:

      If you select a compound asset, all of its components are added for disposal. The disposal process is the same for simple and component assets.

    • Quantity To Dispose – Enter the quantity of assets being sold.

    • Sales Amount – Enter the sales amount.

    • Location – If Multi-Location Inventory (MLI) is enabled, asset disposal by sale requires a location value. If available, the location is sourced from the FAM asset record by default and can't be edited to prevent untracked location transfers. If not available from the asset record, you must select the value in the Location list on the Sale/Disposal page.

  4. Click Add.

    To dispose of multiple assets in one transaction, add more assets in the Disposal Details section. Repeat step 3 as needed.

    Important:

    Make sure the asset you're processing is the one you want to dispose. You can no longer retrieve disposed assets.

  5. Click Dispose.

    If you enabled Custom Transactions and Use Custom Journals, a specific journal entry is created for asset disposal. You can view these journal entries in Fixed Assets > Transactions > Journal Types. You'll need to manually set the status of the journal entry to Approved before it posts. For more information, see Viewing and Approving Custom Journal Entries.

    If Require Approvals on Journal Entries is enabled, and you don't have permission to approve journals, an administrator must approve them before posting.

Related Topics

General Notices