1.As we are at end of the year, i wanted to record accumulated depreciation of my all Fixed asset .
2. i am not sure if we created a proper depreciation account for each Fixed Asset/type, hence i want the steps to create and step to record the accumulated depreciation ,so the effect will take place .
There are several ways to structure the fixed asset account list, I do it like this
fixed assets
>>Truck, Dodge 1500
>> >> cost
>> >> accumulated depreciation Dodge 1500
>>Van, Mercedes
>> >>cost
>> >> accumulated depreciation Mercedes
journal entry
debit depreciation expense
credit fixed asset accumulated depreciation, Dodge 1500
credit fixed asset accumulated depreciation, Mercedes