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View Full Version : Journal Entry on trade-in of vehicle


wagesofsin
Mar 10, 2014, 11:08 AM
I have a car on the books for $80K having a note payable of $64K. It has market value of $60k. The new vehicle also costs $80K. Trade-in is for $65K I am paying the $15K in cash. No accum deprec. Only owned for 6 months.

Is it as simple as?:

Loss 15,000
Cash 15,000