Here are the journal entries for writing off fixed assets:
1. Writing Off Fully Depreciated Fixed Assets:
When a fully depreciated fixed asset is written off, the accumulated depreciation and the asset cost are removed from the books.
| Particulars | Debit (₹) | Credit (₹) |
|---|---|---|
| Accumulated Depreciation A/c | [Asset's Original Cost] | |
| To Fixed Asset A/c | [Asset's Original Cost] | |
| (Being fully depreciated fixed asset written off) |
2. Writing Off Partially Depreciated Fixed Assets:
When a partially depreciated fixed asset is written off, the remaining book value is expensed.
Example: The original cost of the asset is ₹100,000, accumulated depreciation is ₹60,000, and the remaining book value is ₹40,000.
| Particulars | Debit (₹) | Credit (₹) |
|---|---|---|
| Accumulated Depreciation A/c | 60,000 | |
| Loss on Disposal of Fixed Asset A/c | 40,000 | |
| To Fixed Asset A/c | 100,000 | |
| (Being partially depreciated fixed asset written off) |
3. Writing Off an Asset with No Accumulated Depreciation:
If an asset has not been depreciated, the entire cost is expensed.
Example: The cost of the asset is ₹50,000.
| Particulars | Debit (₹) | Credit (₹) |
|---|---|---|
| Loss on Disposal of Fixed Asset A/c | 50,000 | |
| To Fixed Asset A/c | 50,000 | |
| (Being fixed asset with no depreciation written off) |
These entries help in properly recording the write-off of fixed assets in the accounting records.
