Journal entry for capital losses

Journal entry can be passed as: -

Bank A/c                           Dr    Rs 5000 (being cart sold)

Loss on sale of Cart      Dr    Rs 1000 (being cart of Rs 7000 having WDV of Rs 6000 sold at Rs 5000)

Accumulated Dep.on Cart  A/c    Dr Rs 1000 (Assumed Rs 1000 have been depreciated upto date of sale) 

Died Horse A/c                Dr   Rs 8000 (being death of horse- A/c classified as Expense; No                                                                                     depreciation assumed as leaving entities are NOT depreciated)

              To Horse A/c                                  Rs 8000 (classified as a Fixed Asset A/c)

               To Cart A/c                                     Rs 7000 (Assumed Fixed Asset A/c & Accumulated Dep A/c are                                                                                           maintained separately)

Cash A/c Dr                 5,000

Loss on sale of cart   2,000

Depreciation (if Any)

Died Horse                 8,000

   To Horse                                      8,000

   To Cart                                          7,000 (Less depreciation, if any)

THANK 

             HARI WADHWA SIR...