Quickbooks: How to Record Sale of Fixed Asset Item
When you track fixed assets by using a fixed asset item, it’s important to record the sale of that item in your Quickbooks account. The only time when this isn’t necessary is when you use a fixed asset account for the sole purpose of tracking your fixed assets, in which case you can record the sale using a general journal entry. So, how exactly do you record the sale of a fixed asset item in Quickbooks?
To record the sale of a fixed asset item, log into your Quickbooks account and access the Lists menu > Fixed Asset Item List. From here, click the “Activities” link at the bottom, followed by “Creative Invoices.” You may see a message asking if you’d like help on choosing a sales form. Click “No.”
Next, enter the Customer:Job and date into the the Fixed Asset list. In the Item column, select the asset that you wish to sell. You must now enter the pricing details about the item. This is done by entering the asset’s sales price in the “Amount column,” at which point you can click “Save & Close.”
After saving and closing the aforementioned menu, you may now see a message asking if you’d like to enter more information. Click “Yes,” and you should see the Edit Fixed Asset Item window appear on screen. Go ahead and mark the asset as sold and inactive.
Unless you have a professional accountant who updates your company file using Quickbooks Fixed Asset Manager, you’ll need to record the sale using a general journal entry. This is done by accessing the Company menu > Make General Journal Entries > select the drop-down menu and choose the fixed asset account where you want to track the cost or value of the respective asset. In the Credit field, enter the cost of the asset. Although optional, you may also want to enter a name for the asset in the Name field.
Last but not least, enter the selling price for the asset along with its net gain or loss on the following line. When you are finished, save the entry and close the session. Sorry if you were expecting more, but that’s all it takes to record the sale of a fixed asset item in Quickbooks.
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