Hi Nirvana_1959

I am assuming you are using Sage 50 Canadian and this is the correct forum you are asking the question in. There is also not enough detail provided to answer your question, but I here are a couple of links to guide you in your task. These are only guides and I recommend you contact a professional accountant and have them review and or prepare this for you.

https://www.thebalance.com/how-to-calculate-capital-cost-allowance-2948635

https://www.canada.ca/content/dam/cra-arc/migration/cra-arc/formspubs/prioryear/t2sch8/t2sch8-11e.pdf This is the actual form and all the instruction are on it on how to use it. 

https://www.canada.ca/en/revenue-agency/services/forms-publications/publications/t4012.html with detailed information from CRA on how CCA is caluclated at recommended in the T2 Schedule 8 page 41 to 47 with full detail.

Again I highly recommend you contact a professional accountant as the above are only suggestions.

The accounting entry for recording the amortization will be Debit Amortization Expense and Credit Accumulated Amortization.

Thanks for the reply. 

My question is basically this. If one od the items in a class is damaged and junked what do I do. Claim the loss somewhere (if so how) or pretend that thing is still in operation and do the usual depreciation (this is what I gathered from googling. Only when no items are left in a class you can claim terminal loss). May be I am missing something.

Yes I am using Sage 50 CDN.

Thanks again. 

Here is a response from Allan Madan (CPA, CA):

"Since there are still assets remaining in Class 50, the Class cannot be closed and a terminal loss cannot be claimed. Continue to claim CCA as normal on Class 50 assets, even though you got rid of one computer for $0 proceeds.

For accounting purposes, record a capital loss for the disposal of the asset and remove the asset from the books. The capital loss = to the book value of the computer disposed of."