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May 7, 2024
Question

JOURNAL ENTRY FOR FIXED ASSET RETURNED TO DEALERSHIP WITH A LOAN LIABILITY

  • May 7, 2024
  • 2 replies
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2 replies

BigRedConsulting
July 3, 2024

Not sure, but I expect the trick is to reverse the transaction/accounting that was created when the asset left the dealership and the loan was created.

btks
July 4, 2024

It would be best to check with your tax preparer for this. The JE will be different depending on whether any depreciation had been taken or if there is still a balance due to the dealer after the return.