AA-60 How to Record Replacement of Fixed Assets With New Assets

My Videos (Accounts Officer ) (673 Points)

08 July 2024  
All Respected Members,

Hope all of you are fine with good health and doing well.

Please educate me on following:

Suppose, we have a laptop which is booked in accounts as fixed assets and has a book value Rs.30K

This laptop has been damaged due to some reason.

A supplier give us offer that he will buy this damaged laptop from us Rs.15K and if we give him 20K cash with this damaged laptop, he will give us a new laptop, Please let me know: how we will record it in our account ? Please share journal entry.