Fixed Assets Journal Entries

The fixed assets journal entries below act as a quick reference, and set out the most commonly encountered situations when dealing with the double entry posting of fixed assets.

In each case the fixed assets journal entries show the debit and credit account together with a brief narrative. For a fuller explanation of journal entries, view our examples section.

Typical Fixed Assets Journal Entries


Purchase of fixed assets journal entry
Account Debit Credit
Fixed assets XXX
Cash XXX

Journal entry to record depreciation
Account Debit Credit
Depreciation expense XXX
Accumulated depreciation XXX

 

 

 


Gain on sale of asset journal entry
Account Debit Credit
Cash XXX
Accumulated depreciation XXX
Fixed assets XXX
Gain on disposal XXX

Loss on sale of asset journal entry
Account Debit Credit
Cash XXX
Loss on disposal XXX
Accumulated depreciation XXX
Fixed assets XXX

To remove a fully depreciated asset
Account Debit Credit
Accumulated depreciation XXX
Fixed asset XXX

Asset write off journal entry
Account Debit Credit
Accumulated depreciation XXX
Loss on disposal XXX
Fixed asset XXX

 

 

 

Last modified November 13th, 2019 by Michael Brown

About the Author

Chartered accountant Michael Brown is the founder and CEO of Double Entry Bookkeeping. He has worked as an accountant and consultant for more than 25 years in all types of industries. He has been the CFO or controller of both small and medium sized companies and has run small businesses of his own. He has been a manager and an auditor with Deloitte, a big 4 accountancy firm, and holds a BSc from Loughborough University.

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