QuestionAugust 2, 2025

When you discard an asset, what is true? Debit the accumulatec I depreciation account you are discarding. Debit a gain if necessary. Credit a loss if necessary. Credit the asset you are discarding.

When you discard an asset, what is true? Debit the accumulatec I depreciation account you are discarding. Debit a gain if necessary. Credit a loss if necessary. Credit the asset you are discarding.
When you discard an asset, what is true?
Debit the accumulatec I depreciation account you are discarding.
Debit a gain if necessary.
Credit a loss if necessary.
Credit the asset you are discarding.

Solution
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Answer

Debit the accumulated depreciation account you are discarding. Credit the asset you are discarding. Explanation 1. Determine the accounting entries for discarding an asset When discarding an asset, you need to remove the asset and its accumulated depreciation from the books. This involves debiting the accumulated depreciation account and crediting the asset account. 2. Consider gains or losses If there is a gain, it should be credited. If there is a loss, it should be debited.

Explanation

1. Determine the accounting entries for discarding an asset<br /> When discarding an asset, you need to remove the asset and its accumulated depreciation from the books. This involves debiting the accumulated depreciation account and crediting the asset account.<br />2. Consider gains or losses<br /> If there is a gain, it should be credited. If there is a loss, it should be debited.
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