Review to disposal
Investigate asset findings, review the valuation and record an approved disposal with its accounting outcome.
4 stages · 2 approvals
Roles and responsibilities
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Step 1Physical inventory
Inventory NumberInventory NameScheduled DateScope Location
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Step 2Impairment and revaluation
Impairment NumberFixed AssetTest DateCarrying Value
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Step 3Disposal and retirement
Disposal NumberFixed AssetDisposal DateDisposal MethodScrap
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Step 4Tax and audit reporting
Election NumberFixed AssetTax YearDeduction Amount
Process steps
Follow the process from start to finish. Select a step to see who acts and what changes.
Physical inventory
Preserve expected assignments at count start, collect scoped observations and investigate discrepancies. An unregistered item may have no asset reference until reviewed intake; a missing item is never automatically written off.
Approval required
Impairment and revaluation
Independently review valuation evidence using the correct asset-group and accounting-framework policy. Do not substitute a generic carrying-value comparison for that policy; preserve adjustments and exact GL acknowledgments.
Approval required
Disposal and retirement
Approve the current disposal or retirement proposal independently. Retain proceeds, carrying-value basis and linked journal; apply financial completion only after confirmed posting and prevent conflicting lifecycle operations.
Tax and audit reporting
Reconcile workpapers to the reviewed tax books and asset roll-forward. Export the retained version; record filing only with external acceptance evidence. Keep prior snapshots when a return or book is corrected.
Approvals and controls
2 approvals required in this process
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Impairment and revaluation
Controller / CFO signs · disposal and retirement waits
AssetImpairments, RevaluationAdjustments, AssetBooks -
Disposal and retirement
Controller / CFO signs · tax and audit reporting waits
AssetDisposals, AssetRetirements, FixedAssets, AssetMovements - Use the reviewed accounting frameworkAsset-group assessment before proposing an impairment or revaluation.
- Require independent approval of a disposalRetain proceeds, carrying value and the linked journal.
- Prevent conflicting transfersDepreciation and disposal effects while an accounting outcome remains unresolved.
Records and postings
| Stage | Records | Effect |
|---|---|---|
| 1 Physical inventory | PhysicalInventoriesPhysicalInventoryItemsMaintenanceLogs | Preserve expected assignments at count start, collect scoped observations and investigate discrepancies |
| 2 Impairment and revaluation | AssetImpairmentsRevaluationAdjustmentsAssetBooks | Independently review valuation evidence using the correct asset-group and accounting-framework policy |
| 3 Disposal and retirement | AssetDisposalsAssetRetirementsFixedAssetsAssetMovements | Approve the current disposal or retirement proposal independently |
| 4 Tax and audit reporting | Form4562SnapshotsBookSchedulesAssetMovements | Reconcile workpapers to the reviewed tax books and asset roll-forward |
Process reports
All reportsAsset Roll-Forward
Per period: opening cost, additions (new capitalizations), retirements, disposals, transfers, ending cost; opening accumulated depreciation, period depreciation, accumulated retired, ending accumulated; opening NBV, ending NBV. Drills by AssetCategory × Department × Location × individual FixedAsset. The Controller's monthly close artifact and the auditor's tie-out to the GL control account.
Physical Inventory Reconciliation
Compare the frozen expected population with observed assets, approved resolutions and open investigations, retaining evidence for internal and external review.
Disposals & Gain/Loss
Per period: every AssetDisposal with DisposalMethod, ProceedsAmount, NetBookValueAtDisposal, GainLoss, JournalEntryRef. Sum of GainLoss per category; flags loss outliers above a configurable threshold for additional Controller review.
Asset Aging by Category
Per Category: count and original cost of assets by age bucket (0–1y, 1–3y, 3–5y, 5–10y, 10y+) and by NBV remaining bucket (≥75% NBV, 50–75%, 25–50%, 0–25%, fully depreciated). Surfaces aging fleet candidates for replacement planning.
Maintenance Cost per Asset
TTM maintenance spend per FixedAsset rolled up by Category and Manufacturer. Flags assets where TTM maintenance exceeds a configurable percentage of NBV — economic-life signal for retirement or replacement.
Run by an agent
Agent support
Proto cannot supply a missing business approval, invent external payment or posting outcomes, or weaken the server permissions. Reviewed source records and configured integrations determine the available actions. Retain the result of each actual operation and investigate unsupported requirements before enabling automatic execution.
# Example after configuration
$ curl -fsSL https://www.erp.ai/skill.md | paste into your agent
› review to disposal · physical inventory on PhysicalInventories, PhysicalInventoryItems, MaintenanceLogs
✓ Preserve expected assignments at count start, collect scoped observations and investigate discrepancies.
› review to disposal · impairment and revaluation on AssetImpairments, RevaluationAdjustments, AssetBooks
⏸ approval · waiting for the controller / cfo
# 2 more stages after approval: disposal and retirement, tax and audit reporting
Other processes
3 moreAcquisition to depreciation
Follow an asset from its purchase evidence to reviewed depreciation and confirmed accounting entries.
5 stages · 1 approval
Request to asset transfer
Move an asset to its approved custodian and location while preserving the history needed for the next count.
4 stages · 1 approval
Tax book to workpaper
Keep tax-book calculations and reviewed elections connected to the workpapers that support them.
4 stages · 1 approval