Fixed Asset Accounting

Asset Additions

Asset cost A/c------------------------------Dr
         Asset Clearing A/c------------------Cr

Asset Retirements

Accumulated depreciation A/c--------------Dr
Retirement gain/loss A/c----------------------Dr(Asset book)  
        Asset cost A/c----------------------------Cr


Asset Retirements with Proceeds of sales

Accumulated depreciation A/c--------------Dr
Proceeds of sales A/c--------------------------Dr
              Asset cost A/c------------------------Cr
              Gain/loss A/c-------------------------Cr

Asset Reclassification

Asset cost A/c------------------------------Dr (New Asset Category)
Accumulated depreciation A/c-----------Dr (Old Asset Category)
        Asset cost A/c------------------------Cr (Old Asset Category)
       Accumulated depreciation A/c------Cr (New Asset Category)

Depreciation

Depreciation Expense A/c-----------------Dr
        Accumulated depreciation A/c------Cr

When Cost adjustment made, amount is increased

Depreciation Expense A/c-----------------Dr
Asset cost A/c-------------------------------Dr
          Accumulated depreciation A/c------Cr
          Asset Clearing A/c--------------------Cr

Same entries will be reversed when amount is decreased
These accounts are taken from asset category