Knowledgebase
NolaPro > NolaPro Support Desk > Knowledgebase

Sale of a Fixed Asset

Solution Below are two options for the sale of a Fixed Asset based on depreciation. You would complete a journal entry to record this transaction.

1) Fully depreciated:

Dr. Cash

Cr. Fixed asset

Dr. Accum. Depreciation

Cr. Gain on Sale

2) Partially depreciated:

Dr. Cash

Cr. Fixed asset

Dr. Accum. Depreciation

Cr. Gain on Sale *OR Dr. Loss on Sale

The gain or loss is the offset to the transaction so it depends on if the cash received is more or less than book value.
 
Was this article helpful? yes / no
Article details
Article ID: 186
Category: General Info
Date added: 2010-10-14 15:00:16
Views: 397
Rating (Votes): Article rated 3.1/5.0 (35)

 
« Go back