Question

company sold an old machinery to smart India pvt Ltd. and received a cheque of SBI rs. 21,870.00. WDV value is rs. 27000.00 and deposited into corporation bank on the same day. what is the journal entry for this? ​

Answer 1

Bank A/c Dr- 21,870

Loss on sale of machinery Dr-5130

To Asset A/c ( Machinery). Cr-27000