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Disposal of Assets - Accounting (Class XI)
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When scrap is sold ________ account is credited.
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A
Asset A/c
💡 Explanation:
Scrap value is the estimated cost that a fixed asset can be sold for after providing in for full depreciation. When an asset is purchased, asset account is debited as assets have debit balance. So when scrap is sold, asset account is credited with the amount received on sale.