I bought a car and sold it a year later, how do I record this?

I bought a car and sold it a year later, how do I record this?

I bought a car at $39000. a year later I sold it at $38000.
Do I record this as an expense (Furniture and equipment) at the buying stage?
At selling, Do I have to create a new contact and then receive payment?

If I did it this way, then my books will show that I still have an asset. How can I relate the two transactions?