Create an account called Asset Disposal(clearing) in the disposal PP against net book value specify this account in the ledger a/c column and specify the scrapor gain/loss account in the offset column
for all other items specify the asset disposal account in the offset account and the acctual account used in the asset PP in the ledger column during disposal all the balances of all transactions such as acquisition, writeup/down , accumulated depreciation and net book value are transfered to this Asset disposal account. The net balance of this account should be zero all the time. hope this helps --- In Axapta-Knowledge-Village@yahoogroups.com, Akshay <[EMAIL PROTECTED]> wrote: > > Hi All, > > > > I want to highlight a problem that I'm facing with Disposal /write- off of > Fixed Assets. There is general accounting principle that I need to abide to. > Let me explain with an example: > > > > 1. A Fixed asset is capitalized on the 1st of January using a > inventory to Fixed Asset journal > Accounting entry as follows > > Fixed Asset a/c (dr) > > Inventory a/c (cr) > > > > 2. I run depreciation for the months Jan, Feb and March on a straight > line method > > Accounting entry as follows > > Depreciation Expense a/c (dr) > > Accumulated Depreciation (cr) > > > > 3. Write off on 1st April > > Accounting entry as follows > > Accumulated Depreciation (dr) > > FA Scrap (dr) > > Fixed Asset a/c (cr) > > > > > The above illustration basically shows that the depreciation is never > accounted to the Fixed asset account directly, but to a different > accumulated depreciation account. At the time of write-off, accumulated > depreciation needs to be written up again only to get offset to the Fixed > asset a/c. > > > > Points 1 & 2 are the same in AX. However, the method of disposal scrap in Ax > goes like this: > > > > Accumulated Depreciation Offset a/c (Cr) > //depreciation write up > > Accumulated Depreciation a/c > (Dr) > > Ledger Journal Offset (Dr) //write off > > Fixed Asset a/c > (Cr) > > Fixed Asset a/c (Dr) > > Fixed Asset Scrap (Cr) > > > > I need to mandatorily specify all these to have the posting work in the FA > posting profile. I can't seem to get Ax to be setup to help me achieve the > transaction set above. Can you please help if you know any other way / > something that I'm missing? > > > Thanks > Akshay >
