Session 18 - Practice: Problems with finding loss/ profit on sale of Asset

Recommended Books & Texts

• Accounting for Business (3rd ed) — A textbook focused on how accounting supports business decision-making and is suitable for non-specialist managers and business students. Goodreads

• Accounting for Business Studies by Aneirin Owen — Integrates accounting with business & management studies, emphasising the commercial context. Routledge

• Business Accounting (v.2.0) (free online text) — Covers many fundamental accounting topics; good for self-study. 2012 Books

• Accounting, The Language of Business by JoAnn Wood — Openly-licensed, explains accounting as a communication tool in business. Boise State Pressbooks

Useful Online Resources

• Open Textbook Library: “Accounting Principles: A Business Perspective” and others — free downloadable textbooks covering core accounting topics. Open Educational Resources

• Guides listing recommended books for accounting and business: e.g., “Business Recommended Reading by Subject: Accounting”. BYU Library Guides+1

• Articles on accounting fundamentals: e.g., “What Is Accounting? | Introduction to Business” explains accounting as the language of business.

Important Questions

1. What is meant by profit or loss on sale of asset?
   
   

2. How is the book value of an asset determined before disposal?
   
   

3. Explain the accounting treatment of profit and loss on sale of an asset.
   
   

4. What entries are passed when an asset is sold at a profit or loss?
   
   

5. Distinguish between sale of asset under SLM and WDV methods.