FINANCIAL POLICIES & PROCEDURES MANUAL - Ministry of Health

HSSP Financial Policies & Procedures Manual
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Class of
Asset
Asset
Identification
Number
Description
Specifications
Model# Serial# &
Country of Origin
Fixed Asset Register
Purchase
Date
DV
Reference
Cost (US$) Link
to General Ledger
Location User &
Condition
5.4 DISPOSAL POLICY
All users of fixed assets must report any unused fixed assets considered for disposal, to the
Financial Management Group to inform them to review and consider disposal if necessary.
Disposal form shall be prepared and approved prior to recording adjustments in the Fixed
Assets Register and accounting records. This must be attached to the Journal Voucher for entry
into the General Journal (where necessary).
5.5 ACCOUNTING FOR FIXED ASSETS
5.5.1 PURCHASE OF FIXED ASSETS
• Purchase of assets shall only be made when the capital expenditure form has been approved.
• Capital expenditure request form shall be attached to the Disbursement Voucher.
• The cost is recognised as expenses when payment is made. The Fixed Assets Register is
maintained for monitoring and controlling purposes.
5.5.2 RECEIPT & ISSUE OF FIXED ASSETS
Purchase Receipt
Issuance Slip
Delivery Receipt
Purchase Receipt is a Program form which is required to be completed by the recipient of the
goods or services. Any assets received at Program premises shall be documented by preparing
this form. This Form is evidence of check of the quantity, existence of an item, specifications that
have been agreed upon and condition of assets that are delivered by the suppliers.
If goods are found to be damaged (or in a condition inconsistent with the Purchase Order) the
supplier will be notified immediately. The Purchase Receipt is prepared by the recipient and
checked by the Accountant. .
This is a counterpart of Receiving Report. After the receipt of goods these goods form part of
the Fixed Assets in the Program outlet. If these goods were requested by a unit or an officer then
they will be issued to the person or unit who will use the goods. Issuance Slip (IS) form shall be
used to document the release of the assets. This Form shall also be approved by the authorized
signatory. Security guard must inspect all items that are to be transferred from the Program to
another place or vice versa and properly recorded in the Log book.
Second Health Sector Support Program (HSSP2) Financial Policies & Procedures Page 42 of 144