Asset Disposition – Gain / Loss Report
Continuing from our asset acquisition reporting post, this post will address asset disposition reporting. This report displays all assets disposed between the selected period begin and end dates. Below, you will find the columns that should be included in such a report. Also, take a look at the sample report we have included to see what this report should look like. (Click it for a larger view)
- Asset Number - unique asset identifier
- Description
- General Ledger Code – associated G/L code for this disposal
- Department Code – associated department
- Acquisition Date – the date when the asset was acquired
- Cost – purchase price of the asset
- Disposal Date – the date the asset was disposed
- Disposal Method – method of disposal (i.e. Sale, Retirement, etc.)
- Proceeds of Sale – any money received for the disposal
- Total Depreciation - sum of prior and current depreciation amounts
- Calculated Gain/Loss – the difference between the cost minus any proceeds and total depreciation
Some disposals such as abandonment and destruction do not include any proceeds. The company simply gets rid of the asset at the end of its’ useful life. Other disposals such as a sale and exchange can result in proceeds when removing the asset. In either case, the calculated gain or loss will show the net effect of the disposals.
This report is typically run with filtering to select a subset of disposals. It can then be used to review all sales or other types of disposals for a specific period or periods for a given entity. An example of this would be, all the retirements this year for the New York office. For more information regarding this type of report, or should you have any questions, feel free to ask below or on our questions page.