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Honda car dr 11556 purchase 25/08/2010
to bank cr 4100
to loan cr 7456
Installment paid upto 31/7/2012 @ 207/-pm (total 4761/-)
Loan Bal. 2695/-
Car was cancelled due to accident in June-2012.
Finance company refunded 6656/-(15/08/2012)
Total accumulated depreciation was 5202.318.
what will be the Car write-off entry..??
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will it be...;
cash dr 6656.000
Accum.dep. dr 5202.318
loan dr 2695.000
honda cr 11556.000
profit on write-off cr 2997.318
14553.318 14553.318
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