Start out with crediting the original purchase price. Credit improvements if you capitalized these.When you sell merchandise, should the sale be recorded in cash or account? Check out the article below to know how to decide with examples. I'm going to show you a way to record the sale of a financed asset uh in QuickBook so you can record the gain rate record the cash you get. Assets are recorded on the balance sheet at cost, meaning that all costs to purchase the asset and to prepare the asset for operation should be included. Fixed assets represent a significant capital investment, so it's critical the accounting be applied correctly. 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? This entry has several steps to account for the updates to your portfolio. It removes the property from your balance sheet, clears its accumulated depreciation.