Record equipment lost


I have a piece of equpiment I bought in the last financial year that has broken, cannot be repaired and has now been disposed off. How do I record that in quickfile so it no longer shows as an asset please?



From what I know, this is a type of depreciation. If the equipment has no useful purpose in your business then you can fully depreciate it (i.e. transfer it off the balance sheet and onto the P&L). You would achieve this via a Journal in QuickFile.

You may find the following link to be helpful, I think the first scenario is applicable here.

How do I write off a fixed asset?

Disclaimer: I’m not an accountant so I would always recommend you seek professional advice.

Thank you. Would you or anyone happen to know if the following would be correct please? (I originally logged the equipment as plant/machinery nominal code.

(0021) Plant/Machinery Depreciation (Debit the amount it cost)
(0020) Plant and Machinery (Credit the amount it cost)

(or is it the other way round?)

Thanks in advance

That looks right to me!

Thanks. I’ve just tried it the other way round and I think that takes it off the balance sheet. I’ll get an accountant to check it over though. Thanks for your help.

Assets appear as debits on the balance sheet:

So crediting the asset code and debiting the P&L code should be what’s required here.

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