There are two kinds of fixed assets scrapping: one is due to wear and tear or obsolescence, the expiration of the period of use can not continue to use; the second is due to technological progress, must be replaced by advanced equipment. Fixed assets scrapped, on the one hand, due to the fixed assets out of the enterprise caused by the reduction of fixed assets, on the other hand, in the process of cleaning up will also incur some clean-up costs, but also may obtain a certain amount of real estate income. Therefore, the accounting for fixed assets scrapped should be carried out in accordance with the following procedures:
1, write off the original value of fixed assets scrapped and depreciated. According to the net value of fixed assets, debit "fixed assets clearance" account; according to the depreciation amount, debit "accumulated depreciation" account; according to the original value of fixed assets, credit "fixed assets" account.
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2. Carry forward the residual value and the realization of income. According to the recovery of the value of the residual material and the realization of income, debit "bank deposits", "raw materials" and other accounts, credit "fixed assets" account.
3. Payment of liquidation costs. According to the cleaning costs incurred, debit "fixed assets cleaning" account, credit "bank deposits" and other accounts.
4, carry forward the net gain or loss after liquidation. Fixed assets after liquidation of the net proceeds, debit "fixed assets cleanup" account, credit "non-operating income - fixed assets proceeds" account; fixed assets after liquidation of the net loss, debit "non-operating expenditures - Loss of fixed assets" account, credit "fixed assets" account.
Expanded:
Fixed assets that meet one of the following conditions can be applied for scrapping:
1, the use of a long life, loss of functionality, completely lost the value of use, or can not be used and have no value for repair;
2, the product is technologically outdated, poor quality, high energy consumption, low efficiency, has been phased out and is not suitable for continued use, or technical indicators have not reached the use of the product. Or technical indicators have failed to meet the requirements of use;
3, serious damage, can not be repaired or can be repaired, but the cumulative repair costs have been close to or exceed the market value;
4, the main accessories are damaged, can not be repaired, while the main body can still be used, can be used as part of the end of life;
5, duty-free imports of instruments and equipment should be in the custody of the expiration of the period, apply for release of supervision to the Customs and approval before filing for scrap And get approval before applying for scrapping.
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