Why Choose Us?
0% AI Guarantee
Human-written only.
24/7 Support
Anytime, anywhere.
Plagiarism Free
100% Original.
Expert Tutors
Masters & PhDs.
100% Confidential
Your privacy matters.
On-Time Delivery
Never miss a deadline.
A company sells a plant asset which originally cost $356000 for $119000 on December 31, 2018
A company sells a plant asset which originally cost $356000 for $119000 on December 31, 2018. The Accumulated Depreciation account had a balance of $145000 after the current year's depreciation of $30000 had been recorded. The company should recognize a O $62000 loss on disposal. O $92000 loss on disposal. O $92000 gain on disposal. O $237000 loss on disposal.
Expert Solution
Answer : Option with $92,000 loss on disposal is the correct Option.
Working:
Gain/loss on disposal = Assets sale value - (Asset Cost - Accumulated depreciation till date)
= $119,000 - ($356,000 - $145,000)
=$119,000 - $211,000
= - $92,000
Therefore it is
$92,000 loss on disposal Is correct Option.
Answer : Option with $92,000 loss on disposal is the correct Option.
Working:
Gain/loss on disposal = Assets sale value - (Asset Cost - Accumulated depreciation till date)
= $119,000 - ($356,000 - $145,000)
=$119,000 - $211,000
= - $92,000
Therefore it is
$92,000 loss on disposal Is correct Option.
Archived Solution
You have full access to this solution. To save a copy with all formatting and attachments, use the button below.
For ready-to-submit work, please order a fresh solution below.
