Disposal Processing
Use Disposal Processing in the Asset Management application to remove an asset item from your general ledger books when you sell or scrap it.
Processing Disposals
You must dispose of an asset item in the most current period in which depreciation has been run for it.
You can dispose of an asset item even if no depreciation has been processed for it. In this scenario, you must dispose of the asset item in the current period if the asset item was created from an accounts payable voucher or purchase order.
If you use multiple companies, when you run disposal processing, you can only dispose of asset items for the active company.
General Ledger Entries
When you run disposal processing for an asset item, Deltek automatically makes the following postings to your general ledger:
- If you sold the asset item, a cash receipt is recorded.
- The asset item's general ledger balances for accumulated depreciation and the asset account are reversed.
- If the asset item is not fully depreciated when it is disposed, any gain or loss is recorded.
The postings occur in the accounting period that is open when you run disposal processing.
The disposal of an asset item that is sold produces a cash receipt transaction type. Asset items that are scrapped (because they have no market value) produce a journal entry transaction type. No transaction file or list is created for disposal processing.
Gain/(Loss) Account
Enter a general ledger account for posting gains or losses that result from scrapping or selling asset items in the Fixed Asset Disposal Gain/(Loss) Setup section of the General tab in . The account is used when you process a disposal.
Posting Logs
View or print the journal entry posting logs for the automatic posting of asset item disposals in .
Asset Review
When you run disposal processing for an asset item, the item's disposal information is updated on the Summary and History tabs in .
Undoing the Disposal of an Asset Item
Use the Undo Posting utility in to undo the disposal postings.
Disposal Example
For a disposal example, see KB article 83455 on the Deltek Customer Care Connect site.