Connect with and learn from others in the QuickBooks Community.
Since the vehicle is already on the balance sheet as a fixed asset, should i depreciate its value? If so, according to what timeline? 60 months?
Go to Solution.
Yes it is a fixed asset, and the payment you made should post to that same account
yes you calculate and post annual depreciation to a fixed asset sub account for the car called accumulated depreciation-car
download IRS pub 946, depreciation it has the tables and % per year for depreciation.
journal entry to make the posting
debit depreciation expensecredit accumulated depreciation-car
I prefer to set up the FA account sturcture this way (all accounts are FA accounts
Car (do not post to this account, it is a summing account)>> cost>> accumulated depreciation
View solution in original post
You have clicked a link to a site outside of the QuickBooks or ProFile Communities. By clicking "Continue", you will leave the community and be taken to that site instead.