Hi friends,
Could anyone let me know what will be the journal entries for new assets purchase and transfer of assets to and sale of assets with examples.
Your help will be much appreciated.
Thanks
Ali.
Syed (Employee) (41 Points)
01 August 2016Hi friends,
Could anyone let me know what will be the journal entries for new assets purchase and transfer of assets to and sale of assets with examples.
Your help will be much appreciated.
Thanks
Ali.
Karthik Kumar N
(Asst Manager Finance & Accounts)
(81 Points)
Replied 30 August 2016
Hi Accounting entry will be as below
1 when u purchase new machine
Machine A/c Dr
Input duties & Taxes A/ c Dr
To Supplier or Bank
Before Selling First you should book the Depreciations if machine is been used for that entry will be as below
Depreciations on Machinery A/c Dr
To Accumulated Depreciations Machinery
When you sale it if Loss on sale of Machine entry will be as below
Bank A/c Dr
Loss on Sale of Machine A/c Dr
Accumulated Depreciations Machine A/c Dr
To Machine
When u sale if profit on sale of Machine entry will be as below
Bank A/c Dr
Accumulated Depreciations Machine A/c Dr
To Machine
To Profit on sale of Machine
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