Here’s how the general journal entry would look, along with tags for each account:
General Journal Entry
Date: [Insert Date]
| Account Title | Debit (Tk.) | Credit (Tk.) | Tag |
|---|---|---|---|
| Cash | 20,000 | Asset | |
| Accumulated Depreciation—Machine | [Insert Amount] | Contra-Asset | |
| Loss on Disposal of Machine (if applicable) | [Insert Amount] | Expense | |
| Machine | [Insert Amount] | Asset | |
| Gain on Disposal of Machine (if applicable) | [Insert Amount] | Revenue (Other Income) |
Notes:
- Cash is debited as the company receives cash from the sale.
- Accumulated Depreciation is debited to remove the accumulated depreciation related to the machine.
- Machine is credited to remove the machine’s cost from the books.
- If there’s a loss on disposal, it is debited, and if there’s a gain, it is credited.
You’ll need to include the actual figures for accumulated depreciation and the original cost of the machine to finalize the entry. Let me know if you’d like help with calculations!
