Ask Experts Questions for FREE Help !
Ask
    ghulam rasool's Avatar
    ghulam rasool Posts: 1, Reputation: 1
    New Member
    		  
    #1

    Jan 27, 2010, 04:21 AM
    How the loss or gain on the sale of fixed asset will be adjusted
    How the loss or gain on the sale of fixed asset will be adjusted
    Whether it will be deducted from gross profit or owner's equitiey?
    Thanks

    Best regds
    Gulam rasool
    morgaine300's Avatar
    morgaine300 Posts: 6,561, Reputation: 276
    Uber Member
    		  
    #2

    Jan 27, 2010, 11:11 PM

    Gross profit isn't a gain on the sale of a fixed assets - it's the amount you sold inventory for, above what your cost was. Those aren't the same thing, so it has nothing to do with gross profit.
Not your question? Ask your question View similar questions
 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

How does the sale of a fixed asset affect financial statement [ 2 Answers ]

Am struggling with how to post an entry on the sale of a fixed asset-if the asset was purchsed for 50,000 and there is still 25,000 owed on it and I have sold it for 40,000 how do I post this and what accounts are affected-is this only a balance sheet issue or does it affect an income account since...

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 questions Search