Client called asking how to sell an asset (a car purchased for $60,000) in the business books.
We raise an invoice (service type) to the buyer with GST for $50,000 and allocate to Sale of Assets (may need to create the account in the # 4’s (MYOB) or Sales (Quickbooks) with that name. The other side is automatically to Trade Debtors (as you are owed the money).
When you are paid, you Receive Payment which draws from Trade Debtors and deposits to the bank.
Now there is still the $60,000 in the asset, but with the $50,000 sale, this means a $10,000 loss.
What is the next step to deal with these amounts? The answer will be in a few days!