1. DISCARDING A PLANT ASSET WITH NO BOOK VALUE1
1. Record entry to remove plant asset from accounts. 2
2. Write the date, amount, and type of disposal.
Lesson 8-3, page 227

2. DISCARDING A PLANT ASSET WITH A BOOK VALUE
1. Record a partial year’s depreciation expense. 1
2. Record the partial year’s depreciation. 2
4. Record entry to remove plant asset from accounts. 4
3. Write the date, amount, and type of disposal. 3
Lesson 8-3, page 228

3. SELLING A PLANT ASSET 1 3 2 1. Compute the gain or loss on the sale.
3. Record entry to remove plant asset from accounts. 3 2
2. Write the date, amount, and type of disposal.
Cash Received $185.00
Book Value of Asset Sold:
Cost $600.00
Accum. Depr
Gain (Loss) on Sale
of Plant Asset $(15.00)
Lesson 8-3, page 229

4. TRADING A PLANT ASSET
1. Compute the original cost of the new plant asset. 1
4. Record entry to remove old plant asset and add new plant asset. 4
2. Write the date and type of disposal and the new asset number. 2
3. Complete section 1 for the new plant asset. 3
Cash Paid $850.00
Book Value of Asset Traded:
Cost $1,000.00
Accum. Depr
Original Cost of New Plant Asset $1,085.00
Lesson 8-3, page 230

5. SELLING LAND AND BUILDINGS2
2. Write the date, type, and amount of disposal.
3. Record entry to remove plant assets from accounts. 3
1. Compute the gain on sale of plant assets. 1
Lesson 8-3, page 231