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    rblum's Avatar
    rblum Posts: 6, Reputation: 1
    New Member
    		  
    #1

    Aug 10, 2009, 11:50 AM
    JE for costs incurred for disposition of asset
    I sold an asset that I had partially depreciated. I incurred $16k in selling costs. I'm confused as to how I record the costs so that it reduces my basis.

    Asset $185k
    Accum Depr $16k
    Sales price $195k
    Costs $16k

    What would be the JE for this?
    hamzashakaa's Avatar
    hamzashakaa Posts: 161, Reputation: 8
    Junior Member
    		  
    #2

    Aug 11, 2009, 08:29 AM

    Dr. Accumulated depreciation 16
    Dr. Cash 195
    Cr. Asset 185
    Cr. Gain from sale of fixed assets 26

    Dr. SELLING EXPENSES 16
    Cr. Cash 16
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