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Asset Retirement/Scrapping and still is depreciating towards year's end

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Hi all,

 

Just joined a new company which has some asset management opportunities.  Currently, wwhen the business does an asset retirement or scrapping it encounters the following (let's say mid-year July retirement/scrapping with year and a half depreciation left).

 

What is taking place with system today is that it generates a "loss and/gain" on asset for the depreciation remaining in 2016.  However, it still shows asset value and a depreciation run rate through rest of 2015.  Ideally, the company wants to write off all of the asset as of July 2015 (in this example).

 

Any thoughts?

 

Thanks,

Dave


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