Sale of fixed assetts in sage line 50

[nigelm]

Hi,
Is there an easy way to account for the sale of fixed assetts? Dealing with the bank accounts is easy until you try to reconcile the balance sheet - eg if you show the incoming amount as a receipt into the bank and the freehold NC the system adds to your fixed assetts rather than reducing them - if you reduce the freehold property by the book value it then debits the bank account rather than credits it. Any ideas how to do this properley ( I am trying to account for selling a freehold property at book value with the proceeds going into the bank)

Cheers

[brucedenney]

The sale of the asset goes back against the asset, you need to create a code in the P&L for profit on sale of asset to deal with the excess.

[nigelm]

The sale of the asset goes back against the asset, you need to create a code in the P&L for profit on sale of asset to deal with the excess.

Thanks for the reply but how? - eg I get 100k for the asset that goes into the bank against the nominal code for the asset BUT this then increases the assett book value by the amount of the receipt instead of decreasing it.

[brucedenney]

Sounds like your asset is in the accounts as a liability!

Is the asset account showing a debit or a credit value?

Eg

I have an asset bought for £100,000
Each year it appreciates in value (it is property) so after 2 years it appears on the books in 000X as £110,000

I sell the asset for £120,000

Bank Receipt £110,000 against 000x and
Bank Receipt £ 10,000 against 8xxx in the P&L

The Bank has £120k cash in it
The P&L has the £10k additional profit in it
The Asset account is £0 as we no longer have the asset.

[nigelm]

Thanks again - The process that you have decribed is the way I would have expected it to work - (and the way it is working in the trial area of the programme) So either there is a fundamental error in my balances or I have been suffering from extreme brain fade. Either way many thanks - now I am confident in how it should be done I can work out where the problems lie.