We were considering an article on this topic, but our own Lex Friedman had already worked through the possible options for an old iPad in an article for Macworld. So if you’re pondering what to do after upgrading to an iPad 2, check out his advice. follow link
Untrash the Trash
Feeling trasher's remorse? On Snow Leopard, you can open the Trash (click the Trash icon in the Dock) and "untrash" individual items there. Select one or more trashed items (files and folders) and choose File > Put Back. This returns the items to where they were when you originally put them in the trash. The keyboard shortcut is Command-Delete - the same as the shortcut for trashing an item in the first place, since in deleting something from the trash you are untrashing it.
- ExtraBITS for 14 March 2011 (14 Mar 11)
What to Do with Your Old iPad
Luckily, there's no need to deactivate an old device or anything like that; apps are tied to an iTunes account, not to individual devices. (iTunes accounts are tied to Macs, though, so if you ever get rid of a Mac, it's easiest to choose Store > Deauthorize This Computer before you reformat the hard drive.)