Journal entries: Fixed assets

Buying equipment, vehicles, land and buildings, repairs versus improvements, depreciation methods, and selling, scrapping or trading in assets.

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The entries

1. Buying equipment for cash
2. Buying a computer server on account
3. Buying equipment with a down payment and a note payable
4. Buying equipment including freight and installation
5. Buying equipment with sales tax, part paid and part on account
6. Buying a plot of land
7. Buying a building with a mortgage loan and a bank transfer
8. Buying a delivery van with a bank loan
9. Annual straight-line depreciation of a delivery van
10. Depreciation of a building for part of its first year
11. Declining-balance depreciation, first year
12. Depreciating several assets in one entry
13. Selling a machine on account at a gain
14. Selling a machine at a loss
15. Scrapping a fully depreciated machine
16. Trading in an old delivery van for a new one
17. Paying for an ordinary repair
18. Adding a refrigeration unit to a van, on account
19. Owner contributes a private machine to the business during the year
20. Selling a machine at a gain, with VATNot in: United States (US textbooks)

Other topics

• Starting the business
• Buying goods and supplies
• Selling goods and services
• Expenses and payroll
• Adjusting, closing and correcting
• Cash and bank
• Notes and loans
• Inventory and cost of goods
• Corporations and equity
• Multi-step scenarios