asdaWilmar Malaysia
Responsible
Dept
All Departments
Doc number :
PGSB-ACC -0006
Edition:
DISPOSAL OF FIXED ASSET
Prepared By
Checked: (Signed)
1
Date of Doc
Issued:
23rd July 2021
Page order:
1
Effective Date : 23rd July 2021
Doc Distribution List All Departments.
1.
Purpose / Goal
1.1
To establish a standard procedure for fixed asset disposal.
2.
Operation scope
2.1
This policy applies to all fixed assets.
3.
Standard Procedure
3.1
Head of Department (HOD) or Project PIC is responsible to confirm with Accounts
Department whether an item is a fixed asset and the current net book value of the
item before disposal.
3.2
Disposal method and scrap or resold value of fixed asset to 3rd party with quotation
and price comparison must be approved by the factory manager and general
manager.
3.3
Any disposal of fixed asset to 3rd party must be accompanied by delivery order (DO),
and weighing ticket (if the item is weighed).
3.4
Head of Department (HOD) or Project PIC is responsible to inform Accounts
Department on the disposal of fixed asset. One copy of the delivery order and
weighing ticket (if applicable) to be passed to Accounts Department for billing
purpose and to complete the disposal procedure.
3.5
Accounts Department to prepare the disposal form accordingly; disposal form must
be verified by HOD and approved by General Manager/Managing Director to be
effective.
3.6
If a fixed asset is disposed without an approved disposal form, this can be taken as
unauthorized disposal or transfer of asset and displinary action can be taken.