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Homework answers / question archive / An asset was acquired on August 1, 2021, for $37,000 with an estimated five-year life and $3,100 residual value

An asset was acquired on August 1, 2021, for $37,000 with an estimated five-year life and $3,100 residual value

Accounting

An asset was acquired on August 1, 2021, for $37,000 with an estimated five-year life and $3,100 residual value. The company uses straight-line depreciation. Calculate the gain or loss if the asset was sold on April 30, 2023, for $20,000. Partial-year depreciation is calculated based on the number of months the asset is in service ?

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