The recommended method for removing damaged or missing equipment from inventory is to sell it on a miscellaneous invoice for zero dollars. You can sell it to a client or setup a customer record for your company (internal) for disposals.
By selling the product on an invoice, the quantity is relieved from inventory. After posting the invoice and clearing any invoices displayed in Allocate Bulk Disposals, the disposal is reflected on the Fixed Asset Tag. General Ledger postings for the change in the inventory value are also posted to the appropriate G/L Inventory, Cost of Goods Sold (COGS), and Sale of Equipment accounts, as identified in the Product Class.
Rental items can be sold on a miscellaneous invoice or on a rental return.
To sell the rental item on an invoice:
- Add the product to the invoice.
- Change the R/S field to S for sale instead of R for rental.
- The list price for the product will appear as the Each charge and can be over-typed as required.
During the rental return:
- Mark the item as returned in order to close the contract and charge the appropriate rental fees.
- After accepting the rental details a second screen entitled ENTER MISCELLANEOUS INVOICES will appear, displaying all items being invoiced. Add the same rental product number to the invoice and change the R/S field to S for sale.
- Modify the Each amount to be the correct charge to the customer for the sale of this rental product.
Complete the Disposal Posting:
- If the product is a non-bulk item, the asset tag will be updated with the disposal information after Daily Close 3 is accepted.
- If it is a bulk item, after running Daily Close 2, review the bulk disposals file ( Backoffice -> Allocate Bulk Disposals )and select the asset tag against which to record the disposal information. Then run Daily Close 3 to post the sale to the tag.