Accounting for IGCSE & O level - Accounting Procedures (Section 22 - No. 16)
What would be the journal entry for the sale of an asset that is fully depreciated?
Debit Cash, Debit Accumulated Depreciation, Credit Asset
Debit Cash, Credit Asset
Debit Accumulated Depreciation, Credit Asset
Debit Loss on Sale, Credit Asset
Explanation
After it is fully depreciated, the accumulated depreciation would be equal to the asset value. If the asset has no value, the credit would be to the asset and debit would be to cash.
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