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How do I scrap a Fixed Asset ?

 In this example the Asset you wish to “scrap” would already be listed within your Fixed Assets Register and valued at a notional amount.

From the main menu Entries process a Nominal Journal.

Enter the date you wish to effect the scrapping of the Asset.  There will be no movement of Cash, and the journal reference would be something meaningful such as  “scrap FA”.

Select the nominal pre-linked to the Asset, for example Implements or Plant & machinery.  Once you have entered the correct nominal, you will be asked to enter the reference of the Fixed Asset you wish to scrap.

Setting the movement type to “sale” will remove the complete Asset from your Fixed Assets Register. Enter a nett amount of zero, Vat code “O” for outside the scope of vat, and accept OK. The journal should total £ nil.

Saving the journal at this point, would result in the Asset being “removed/scrapped” from your books.

Key will generate a transaction number for the journal, which can be noted in your file/s.