Dear Friends,

Can anyone forward the journal entries relating to fixed assets.

1) Purchase of Fixed asset
2) Fixed Asset Depreciation
3) Sale of Fixed Asset
4) Retirement
5) Loss of Fire


If you have many more entries please forward the same.

Thanks and regards,

SAP2008

1. fixed asset name account debit
Cash accoutn credit
2 depreciation account debit
Cash account credit
3 cash account debit
Fixed asset disposal account credit
4 cash account debit
Retirment account credit
5 loss of fire account debit
Fixed asset account credit

1. Debit Appropriate fixed Asset Account
Credit Cash or Appropriate Liability Account (or combination of)
2. Debit Depreciation Expense
Credit Accumulated Depreciation
3. Debit Cash (if cash rec'd) or Appropriate Receivable Account (or combination of)
Debit Accumulated Depreciation (for the amount of depreciation accumulated on the asset)
Credit the Appropriate fixed Asset Account
Debit or Credit Gain or Loss on the Sale (difference of the other entries)
4. Debit Accumulated Depreciation
Debit Loss on disposal of asset (difference)
Credit Appropriate Fixed Asset Account
5. Similar to #4

I have a fixed equipment asset, accumulated depreciation on part of the price of the asset How do I document the part that hasn't been depreciated yet.

When Purchased of Asset

Asset A\Dr
To Cash\ bank A/C

Depreciation A\C DR
To Asset A\C

P&L A\C DR
To Depreciation A\C

Bank\Cash A/C DR
To Fixed Assets A\C

Profit on sale of Fixed assets A\C DR
To P&L A\c
( At the time of profit on sale of Fixed assets)

P&L A\C DR
To Loss on sale of Fixed Assets
(AT the time of loss on sale of fixed assets)

You do not need to document the asset that has not been depreciated.

Your Asset account balance will show the cost of the asset and you will have a contra asset account that will show the accumnulated depreciation of the asset.

On the balance sheet of some companies will show the net balance of the asset. The cost of the asset minus accumulated depreciation.