Trade-in of a fully depreciated asset
I recently purchased anew machine for my small business. I am unsure how to record the purchase correctly. The new machine was $50K but I received a trade-in for my old machine of $14K. The old machine was fully depreciated. How do I record this so the new machine (asset) still has a value of $50K? I believe the trade-in will have to show as income for the current.
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