01-06-2015, 07:23 PM
Hello,
In my org, by mistake during the month of Dec-14 at the time of retirement of asset I have chosen “Sale of Asset” instead of “Removal of Asset from FA” due to this it was retired but the depreciated amount got credited to Income A/c like profit on sale of FA).
Due to this we have to debit the depreciated amount from Income A/c. and credit the Exp. furniture account as the retirement type should be “Removal of Asset from FA”
What should I do now….should go for adjustment entry in GL or ……….?
In my org, by mistake during the month of Dec-14 at the time of retirement of asset I have chosen “Sale of Asset” instead of “Removal of Asset from FA” due to this it was retired but the depreciated amount got credited to Income A/c like profit on sale of FA).
Due to this we have to debit the depreciated amount from Income A/c. and credit the Exp. furniture account as the retirement type should be “Removal of Asset from FA”
What should I do now….should go for adjustment entry in GL or ……….?