How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Milan Vaishnav Your Own Question
Milan Vaishnav
Milan Vaishnav, Financial Advisor
Category: Finance
Satisfied Customers: 972
Experience:  Technical Analyst in Financial Markets -- Experience of more than 10 years in consulting
Type Your Finance Question Here...
Milan Vaishnav is online now
A new question is answered every 9 seconds

What are the accounting journal entries to transfer asset and

Customer Question

What are the accounting journal entries to transfer asset and debt from one S corporation to another both compnays have the same shareholders
Submitted: 7 years ago.
Category: Finance
Expert:  Milan Vaishnav replied 7 years ago.



TO transfer an asset to one company to the other you will need to close out both asset and depreciation accounts in the transerring company (Entity 1)


IT should be done as follows...


In the Books of transferring Company (Entity 1)


Accumulated Depreciation A/c DR

TO Asset Cost A/c

TO Depreciaton Expense (Adjustment) A./c



In the Books of the Transferee Company (Entity 2)


Asset Cost A/c DR

Depreciation Expense A/c DR

TO Accumulated Depreciation A/c


I hope the above helps...




Related Finance Questions