How to Dispose of a Fixed Asset Overview This document details the procedure for disposing a fixed asset. Versions All; screenshots are from NAV 2009 R2 RTC NAV FA Configuration This documentation assumes that the following configuration settings are selected— - Depreciation Book integration is turned on. There is one Depreciation Book. The Disposal Calculation Method is “Net” on the Depreciation Book. If your configurations are different, call CBSi for additional assistance. Frequency As needed Procedure To record the disposal of a fixed asset, 1. Enter the disposal in a FA G/L Journal as follows— 2745 N. Dallas Pkwy. Suite 530 ◊ Plano, TX 75093 ◊ Tel 972.612.1122 ◊ Fax 972.612.3311 ◊ www.cbsi-corp.com Created 02/22/2012 How to Dispose of a Fixed Asset a. Enter the disposal date in the Posting Date field. b. Allow the Document No. to default from the No. Series or enter depending on your setup. c. Select Account Type = Fixed Asset. d. Select the asset number in the Account No. field. e. The Description will default. f. The Depreciation Book Code will default. g. Select “Disposal” in the FA Posting Type field. h. Select “Sale” in Gen. Posting Type. i. If the fixed asset was sold, - enter the sales amount as a negative number in the Amount field, select the Bal. Account Type of “Bank”, select the bank account the payment was deposited to in the Balancing, Account No. field. If the fixed asset was disposed without being sold, - leave the Amount zero, leave the Balancing Account No. blank. 2. Post the FA G/L Journal. 2745 N. Dallas Pkwy. Suite 530 ◊ Plano, TX 75093 ◊ Tel 972.612.1122 ◊ Fax 972.612.3311 ◊ www.cbsi-corp.com Created 02/22/2012 How to Dispose of a Fixed Asset In the above example the facts were as follows— Acquisition Cost: $53,800.14 Accumulated Depreciation: $10, 764.00 Net Book Value: $43,036.14 Gain on Sale: $6,963.86 ($50,000 - $43,036.14) 2745 N. Dallas Pkwy. Suite 530 ◊ Plano, TX 75093 ◊ Tel 972.612.1122 ◊ Fax 972.612.3311 ◊ www.cbsi-corp.com Created 02/22/2012