Journalise the sale of an asset

You journalise the sale of the asset. Profit automatically journalises any depreciations that have not yet been journalised.

To journalise the sale of an asset:

In this example you journalise the remaining depreciation and the sale of the Ford Mondeo.

1. Go to: Financial / Fixed assets / Journalise.
2. Enter a value in Financial year and Up to and incl period.

   These values match the sale period.

3. Click on: Next.
4. Select the check box of the desired asset.
5. Click on: Finish.

To view the sale journal entries:

1. Go to: Financial / Fixed assets / Asset.
2. Open the desired asset.
3. Go to the tab: Financial changes.

   Profit displays the depreciations generated in the current year, up to the date of the sale. In addition, Profit also displays the lines concerning the sale:

   

Profit journalises the sale using the ledger accounts that are linked to the asset group of the asset. The sale journal entry looks as follows (amounts can deviate from the journal entry you have created):

The contra entries for the balance sheet accounts are the first two lines which remove the asset from the balance sheet. The amount of € 20,000 (to be) received is entered on a suspense account. You can make the contra entry for this later during the financial completion of the sale.

The last line concerns the (incidental) result for this asset. There is a loss, because the book value is € 20,239.47 (=€ 27,365 - € 7,125.53), while you actually sold the asset for € 20,000.