Start out with crediting the original purchase price. Credit improvements if you capitalized these.Should I use a Journal entry again and get rid of the asset and diminish my Loan to 0 and only then dispose the Fixed asset? Solved: What is the journal entry for sale of a fixed asset, including payoff of a mortgage loan and net gain on the transaction? The question is extremely unclear, so I am going to assume that there is a company (Y) that has sold someone (S) a loan (L). Read everything you need to know about fixed assets: terms, accounting, journal entries, ratios, financial statement treatment, and more. A sales journal is used to record a financial transaction which was conducted on credit with a promise to pay on a future date. This publication explains the tax rules that apply when you dispose of property, including when you dispose of only a portion of certain property.