The double entry to record the proceeds on disposal of assets in debit
A. bank account; credit asset disposal account B. asset disposal account; credit bank account C. provision for depreciation account; credit asset disposal account D. asset disposal account; credit provision for depreciation account
Correct Answer: C
Explanation
Debit provision for Depreciation account (to remove the equipment's up-to-date accumulated depreciation), Credit the account Equipment (asset disposal account) to remove the equipment's cost.
