| Author |
Message |
Guest
|
 Posted:
Thu Oct 20, 2005 12:02 am Post subject:
Depreciable Asset Destroyed |
|
|
Several of our club's boat mooring whips were broken and replaced
before they were fully depreciated. How should this be entered in QB?
Thanks for helping.
Bill Bickner
|
|
| Back to top |
|
 |
Mark H
Guest
|
| Posted:
Thu Oct 20, 2005 12:02 am Post subject:
Re: Depreciable Asset Destroyed |
|
|
message below means for the REMAINING undepreciated value (i.e., if asset
cost 100 and you've already taken $75 of depreciation, the write-off amount
is $25)
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:ShA5f.5715$Zv5.4500@newssvr25.news.prodigy.net...
| Quote: | If you don't already have an Income account named Gain/Loss on Disposal of
Assets or something similar, create one. Then create a General Journal
entry where you debit that account for the undepreciated value of the
asset and credit the asset account for the same amount. Depending on your
facts, you may get a capital or other deductible loss for this item for
tax pursposes but your accountant will need to make that call.
wbickner@usfamily.net> wrote in message
news:1129756184.617737.318420@g44g2000cwa.googlegroups.com...
Several of our club's boat mooring whips were broken and replaced
before they were fully depreciated. How should this be entered in QB?
Thanks for helping.
Bill Bickner
|
|
|
| Back to top |
|
|
Mark H
Guest
|
| Posted:
Thu Oct 20, 2005 12:02 am Post subject:
Re: Depreciable Asset Destroyed |
|
|
If you don't already have an Income account named Gain/Loss on Disposal of
Assets or something similar, create one. Then create a General Journal
entry where you debit that account for the undepreciated value of the asset
and credit the asset account for the same amount. Depending on your facts,
you may get a capital or other deductible loss for this item for tax
pursposes but your accountant will need to make that call.
<wbickner@usfamily.net> wrote in message
news:1129756184.617737.318420@g44g2000cwa.googlegroups.com...
| Quote: | Several of our club's boat mooring whips were broken and replaced
before they were fully depreciated. How should this be entered in QB?
Thanks for helping.
Bill Bickner
|
|
|
| Back to top |
|
|
!-!
Guest
|
| Posted:
Thu Oct 20, 2005 4:02 pm Post subject:
Re: Depreciable Asset Destroyed |
|
|
I believe all the textbooks say that you should credit the asset
account for the original cost and debit the accumulated depreciation
account for the amount attributable to the asset.
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:DkA5f.5716$Zv5.2769@newssvr25.news.prodigy.net...
| Quote: | message below means for the REMAINING undepreciated value (i.e., if
asset
cost 100 and you've already taken $75 of depreciation, the write-off
amount
is $25)
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:ShA5f.5715$Zv5.4500@newssvr25.news.prodigy.net...
If you don't already have an Income account named Gain/Loss on
Disposal of
Assets or something similar, create one. Then create a General
Journal
entry where you debit that account for the undepreciated value of
the
asset and credit the asset account for the same amount. Depending
on your
facts, you may get a capital or other deductible loss for this
item for
tax pursposes but your accountant will need to make that call.
wbickner@usfamily.net> wrote in message
news:1129756184.617737.318420@g44g2000cwa.googlegroups.com...
Several of our club's boat mooring whips were broken and replaced
before they were fully depreciated. How should this be entered in
QB?
Thanks for helping.
Bill Bickner
|
|
|
| Back to top |
|
|
Mark H
Guest
|
| Posted:
Thu Oct 20, 2005 9:37 pm Post subject:
Re: Depreciable Asset Destroyed |
|
|
Technically you're absolutely correct. The point is to get to zero and in
QB, the main asset account already shows the net remaining book value.
Either approach gets you to the right answer. In other general ledger
software where the accum depr is not a subaccount of the asset account, the
distinction you're making makes a difference.
"!-!" <Spam@LocalHost.com> wrote in message
news:4oM5f.21439$GH1.453206@news20.bellglobal.com...
| Quote: | I believe all the textbooks say that you should credit the asset
account for the original cost and debit the accumulated depreciation
account for the amount attributable to the asset.
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:DkA5f.5716$Zv5.2769@newssvr25.news.prodigy.net...
message below means for the REMAINING undepreciated value (i.e., if
asset
cost 100 and you've already taken $75 of depreciation, the write-off
amount
is $25)
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:ShA5f.5715$Zv5.4500@newssvr25.news.prodigy.net...
If you don't already have an Income account named Gain/Loss on
Disposal of
Assets or something similar, create one. Then create a General
Journal
entry where you debit that account for the undepreciated value of
the
asset and credit the asset account for the same amount. Depending
on your
facts, you may get a capital or other deductible loss for this
item for
tax pursposes but your accountant will need to make that call.
wbickner@usfamily.net> wrote in message
news:1129756184.617737.318420@g44g2000cwa.googlegroups.com...
Several of our club's boat mooring whips were broken and replaced
before they were fully depreciated. How should this be entered in
QB?
Thanks for helping.
Bill Bickner
|
|
|
| Back to top |
|
|
!-!
Guest
|
| Posted:
Thu Oct 20, 2005 10:09 pm Post subject:
Re: Depreciable Asset Destroyed |
|
|
You are assuming that OP has made accum deprec a subaccount. I didn't
read that, so did not make that assumption.
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:gJP5f.4843$q%.2749@newssvr12.news.prodigy.com...
| Quote: | Technically you're absolutely correct. The point is to get to zero
and in
QB, the main asset account already shows the net remaining book
value.
Either approach gets you to the right answer. In other general
ledger
software where the accum depr is not a subaccount of the asset
account, the
distinction you're making makes a difference.
"!-!" <Spam@LocalHost.com> wrote in message
news:4oM5f.21439$GH1.453206@news20.bellglobal.com...
I believe all the textbooks say that you should credit the asset
account for the original cost and debit the accumulated
depreciation
account for the amount attributable to the asset.
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:DkA5f.5716$Zv5.2769@newssvr25.news.prodigy.net...
message below means for the REMAINING undepreciated value (i.e.,
if
asset
cost 100 and you've already taken $75 of depreciation, the
write-off
amount
is $25)
"Mark H" <gcollect1@sbcglobal.net> wrote in message
news:ShA5f.5715$Zv5.4500@newssvr25.news.prodigy.net...
If you don't already have an Income account named Gain/Loss on
Disposal of
Assets or something similar, create one. Then create a General
Journal
entry where you debit that account for the undepreciated value
of
the
asset and credit the asset account for the same amount.
Depending
on your
facts, you may get a capital or other deductible loss for this
item for
tax pursposes but your accountant will need to make that call.
wbickner@usfamily.net> wrote in message
news:1129756184.617737.318420@g44g2000cwa.googlegroups.com...
Several of our club's boat mooring whips were broken and
replaced
before they were fully depreciated. How should this be entered
in
QB?
Thanks for helping.
Bill Bickner
|
|
|
| Back to top |
|
|
|
|
|
|
FAQ
Memberlist
Register
Profile
Log in to check your private messages
Log in