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To record the sale of a subsidiary, you would typically make the following journal entries:
- Debit Cash (or Accounts Receivable) for the amount received from the sale.
- Debit Accumulated Loss on Sale of Subsidiary (if applicable) to reflect any loss incurred.
- Credit Investment in Subsidiary for the carrying amount of the subsidiary's net assets.
- Credit Gain on Sale of Subsidiary (if applicable) for any gain realized from the sale.
These entries ensure that the financial statements accurately reflect the transaction's impact on the company’s financial position.
What else can I help you with?
What are the two journal entries necessary to record a sale?
debit cash / accounts receivablecredit sales
What are journal entries for sale of vehicle for a non profit entity?
debit cashcredit vehicle
What are journal entries for sale of vehicle for non profit?
debit cash / bankcredit vehicle account
How do you record a journal entry for sale of equipment?
Debit cash / bankCredit equipment
How do you record a journal entry for the cost of a sale?
debit cost of salescredit cash / bank
What are the Journal entries for a sale of subsidiary?
There are several important journal entries for the sale of a subsidiary. These include: Fixed assets, current assets, current liability, deferred tax liability, and goodwill.
What are the two journal entries necessary to record a sale?
debit cash / accounts receivablecredit sales
What are the accounting journal entries to record a sale of inventory with discount?
debit accounts receivablecredit sales revenue
What are journal entries for sale of vehicle for a non profit entity?
debit cashcredit vehicle
What are journal entries for sale of vehicle for non profit?
debit cash / bankcredit vehicle account
What are the journal entries a merchandising organization would use to record the purchase and subsequent sale of merchandise?
Merchandising, Recording Purchases of Merchandise, Recording Sales of Merchandise, Income Statement Presentation Operations, and Evaluating Profitability.
How do you record a journal entry for sale of equipment?
Debit cash / bankCredit equipment
How do you record a journal entry for sale on account?
Debit accounts receivableCredit sales revenue
How do you record a journal entry for the cost of a sale?
debit cost of salescredit cash / bank
How do you record sold of an old typewriter at book value 1250?
To record the sale of an old typewriter at its book value of $1,250, you would make a journal entry that debits cash or accounts receivable for $1,250 and credits the typewriter asset account for $1,250. This reflects the removal of the asset from the books at its recorded value. If there were any accumulated depreciation, that would also need to be considered in the journal entries.
What is the journal entry to record sale of donated assets?
[Debit] Cash / bank xxxx [Credit] Sale of donated asset xxxx
Journal entry to record sale of inventory?
Many variables are involved when determining the proper journal entries to record a sale. For example, consignment sales are recorded uniquely based on the terms of the consignment agreement between parties. Whether or not the sale is for a service or a good also presents differences in the way journal entries are recorded for a sale. If the sale is for a good, whether the company uses a perpetual or periodic system to account for inventory must also be taken into consideration when recording journal entries for a sale. Another variable that must be taken into consideration when recording a sale is whether or not the sale is on credit with terms that allow the purchaser the opportunity to purchase the good or service at discount if paid in timely fashion (trade receivable), and in addition, whether the company uses the net method or gross method when recording journal entries. Assuming the sales transaction is not made on consignment, is not a trade receivable, and no inventory is involved, the following are the journal entries to record the sale. If the sale was a cash transaction: DR cash CR a revenue account If the sale was a credit transaction: DR an accounts receivable CR a revenue account
