More depreciation. Taxes due today. Test next Tuesday.Sale and discard of depreciable assets. AKA, Disposal of Depreciable Assets.
When disposing of a depreciable asset, one must bring the depreciation up to date, including partial years of depreciation. Then one compares the money received for the asset on disposal to the book value of that asset. The difference is the gain or loss.
Natural Resources are generally considered a fixed asset. Natural resources are resources which are attached to land, but are not the land itself. They include mineral deposits, oil and gas, timber, and so forth. When natural resources are extracted and sold or utilized, they are depleted. The depletion of natural resources on land is expensed in a manner very similar to depreciation.
Intangible assets are assets which provide benefit to the company, but have no physical existence. This includes trademarks, copyrights, patents, customer lists, and so forth. Intangible assets lose value over time, and are amortized over their useful life in a process similar to depreciation.
(Cash received + Book Value + Loss Taken) will always equal (Gain + Purchase Price)