ERPstuff - Oracle EBS Community

Hi,

For Asset Retirement we get following entries,

Accumulated Depreciation Dr
Proceeds of Sale Clearing Dr
Cost of Removal Gain Dr
Net Book Value Retired Gain Dr
Asset Cost Cr
Proceeds of Sale Gain Cr
Cost of Removal Clearing Cr


I aware all of these accounting entries,

Mainly my doubt is what about <b>Cash receiving </b>for sale of the Asset and Payment of <b>Removal Costs</b> ,

User guide shows the following entries for these two,

<u><b>AR</b></u>

Accounts Receivable Dr
Proceeds of Sales Clearing Cr

<u><b>AP</b></u>

Cost of Removal Clearing Dr
Accounts Payable Cr

<b>According to me, these accounts entries are not generate automatically, we need to use Misc Receipt for receiving the cash for Asset Sale and need to use Misc Receipt (-ve) for record payments of cost Removal.</b>

I am little bit confuse about these two entries (AP and AR)....Please let me know either i am correct or wrong about these two entries and these entries are created Manually or automatic.

Thanks & Regards,
Anjireddy

Hi Anjireddy,

For Cash receiving and Removal Cost from Asset Retirement, there is no automatically generate for the invoice from Asset. You have to create manually on AR and AP invoice.

Thanks,

Thanks for reply,

you mean we must Define Customer and supplier; and create AR and AP Invoices or use Misc Receipt for both Payment(-ve) and Receipt amount.

Yes, if you want to create an invoice, you must have a customer or a supplier master data.

Please go through this below link

http://download.oracle.com/docs/cd/A607 ... #p_acc_ret