The first was disposed of at the beginning of the fiscal year, whereas the second was disposed of later in the fiscal year. A partial year of depreciation must be subtracted from the book value of an asset when it is disposed of if the asset is sold sometime other than immediately after the start of a new fiscal year. Because the first piece of equipment did not have a partial year of depreciation subtracted from the book value, the equipment was likely sold at the beginning of the fiscal year. However, the second piece of equipment did have a partial year of depreciation subtracted from the book value, so it had to have been disposed of later in the year.