Ask Experts Questions for FREE Help !
Ask

fixed asset sale

Asked Jul 13, 2012, 09:15 PM — 1 Answer
how do I post the sale of a building that is being paid over time.
sale 220K
down payment 15K
monthly payments 1400.

1 Answer
paraclete's Avatar
paraclete Posts: 1,879, Reputation: 585
Ultra Member
 
#2

Jul 14, 2012, 08:37 PM
as I said in an earlier answer a basic understanding of accounting is needed before you answer such questions

We have a double entry system this means for each entry there is a counterpart. In the case of assets there are liabilities. When you expend an asset ie cash to acquire another asset there is a transfer of value when you acquire an asset using credit you create a liability. Armed with this knowledge we can attack your problem where did the money come from to acquire the asset? where did the money come from to make the repayments? are there aspects of these transactions which have not been stated? For example; are we dealing with costs or valuations? Now apparently what I have illustrated here is the reverse position
Helpful

Not your question? Ask your question View similar questions

 
Thread Tools Search this Thread
Search this Thread:

Advanced Search

Add your answer here.

Remove Text Formatting

Undo
Redo
 
Decrease Size
Increase Size
Bold
Italic
Underline
Align Left
Align Center
Align Right
Ordered List
Unordered List
Decrease Indent
Increase Indent
Insert Email Link
Wrap [QUOTE] tags around selected text
Wrap [CODE] tags around selected text
Wrap [HTML] tags around selected text
Wrap [PHP] tags around selected text
Wrap [YOUTUBE] tags around selected text
Notification Type:



Check out some similar questions!

Entry for sale of fixed asset? [ 1 Answers ]

We sold old fixxed asset on below book value 4315

Record the sale of a fixed asset [ 3 Answers ]

How to record the sale of a fixed asset at year end?

Lost on sale of fixed asset [ 1 Answers ]

If I have a lost on sale of fixed asset how do I categorize this on profit and loss statement. Other expenses?

Recording Sale of a Fixed Asset [ 2 Answers ]

I need to record a journal entry to record the sale of one of my business vans and am not sure of what the entry would be. The net book value on my books is 1857 and I sold the van for 1500 therefore incurring a net loss of 357. The entry that I think that I have to record is as follows: Dr Cash...


View more Accounting questions Search