Close. The difference between the depreciated value and the sale price of the asset is the capital gain/loss. Even fully-depreciated assets may retain some residual value (IIRC it was called "salvage value” in my accounting courset), even if it’s only the scrap value of the materials.
Regards, John Ralls > On Jul 2, 2017, at 5:59 PM, R. Victor Klassen <rvklas...@gmail.com> wrote: > > Any net gain from the sale would go in an income account (likely some kind of > capital gain). That’s assuming the equipment was capitalized in the first > place. An old mobile phone is small enough (value) that when it was > purchased this was likely purely an expense item. In the case of a somewhat > more expensive item (say a personal computer), that would have been purchased > not as an expense but as an asset (drawing from cash, a bank account or > credit card to do so), and then ideally it would have been depreciated some > over time before being sold. [the depreciation being an annual expense]. > Then at the time of sale, the asset value is reduced to zero, and the > remainder (positive or negative) to balance the money received would be > income/expense. > > > R. Victor Klassen > rvklas...@gmail.com > 226-792-0733 > >> On Jul 2, 2017, at 8:13 PM, aegross <aegr...@gmail.com> wrote: >> >> This is more of an intellectual curiousity for me than a serious matter. In >> proper double accounting, when selling an old asset, in this case an old >> mobile phone (hence this is a small matter), proper accounting would say the >> proceeds should go into an income account correct? >> >> >> >> -- >> View this message in context: >> http://gnucash.1415818.n4.nabble.com/Accounting-Question-Reselling-Old-Equipment-tp4692479.html >> Sent from the GnuCash - User mailing list archive at Nabble.com. >> _______________________________________________ >> gnucash-user mailing list >> gnucash-user@gnucash.org >> https://lists.gnucash.org/mailman/listinfo/gnucash-user >> ----- >> Please remember to CC this list on all your replies. >> You can do this by using Reply-To-List or Reply-All. > > _______________________________________________ > gnucash-user mailing list > gnucash-user@gnucash.org > https://lists.gnucash.org/mailman/listinfo/gnucash-user > ----- > Please remember to CC this list on all your replies. > You can do this by using Reply-To-List or Reply-All. _______________________________________________ gnucash-user mailing list gnucash-user@gnucash.org https://lists.gnucash.org/mailman/listinfo/gnucash-user ----- Please remember to CC this list on all your replies. You can do this by using Reply-To-List or Reply-All.
