Usage termination involves the return of an asset allocated to an organizational unit, employee or AR/AP, terminating its current use and making it available for other units.
The usage termination transaction is performed by selecting the Usage Termination slip from the Asset Management > Transactions > Asset Transactions menu. Usage Termination is performed by warehouse input if the allocated asset is a material, otherwise by changing the status to "free" for immovable assets.
If you want to terminate the use of a material-related asset and allocate it as scrap, select Target Allocation Location type as Warehouse and make sure you check Scrap checkbox in line. The status of an asset of which usage is terminated as a scrap will be Unavailable.
If you want to terminate the use of a material-related asset by sending it to a second-hand warehouse, select Target Allocation Location type as Warehouse and the relevant second-hand warehouse as the warehouse location, and then check Asset checkbox in line. Application will continue to allocate depreciation to the asset that is allocated to the secondhand warehouse. Asset value and depreciation calculations of the related asset are updated with the Usage Termination Slip.