Office Furniture

Code: 1215
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Account Information

Account Type Statement of Financial Position
Normal Balance Debit

Definition

Cost of office furniture and equipment

Note: This account may be broken down into sub-ledgers as needed (e.g., customer/supplier/bank names or branches).

Common Journal Entries

Purchased new office furniture

Dr. Office Furniture
Cr. Cash in Hand

Recorded furniture depreciation

Dr. Depreciation Expense
Cr. Accumulated Depreciation Furniture

Disposed of old furniture

Dr. Accumulated Depreciation
Dr. Loss on Disposal
Cr. Office Furniture

Revaluation of office furniture

Dr. Office Furniture
Cr. Revaluation Surplus

International Accounting Standards

IFRS IAS 16 Property, Plant and Equipment

Tangible assets with useful life over one period. Depreciated systematically.

US GAAP ASC 360 Property, Plant and Equipment

Same classification. Straight-line or accelerated depreciation methods acceptable.