Bennie Razor Company has decided to sell one of its old manufacturing machines on June 30, 2025.
Question:
Bennie Razor Company has decided to sell one of its old manufacturing machines on June 30, 2025. The machine was purchased for \(\$ 80,000\) on January 1,2021 , and was depreciated on a straight-line basis for 10 years assuming no salvage value. If the machine was sold for \(\$ 26,000\), what was the amount of the gain or loss recorded at the time of the sale?
a. \(\$ 18,000\) loss.
b. \(\$ 54,000\) loss.
c. \(\$ 22,000\) gain.
d. \(\$ 46,000\) gain.
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a First the book value needs to be determined The accumulated ...View the full answer
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ISBN: 9781119791089
10th Edition
Authors: Paul D. Kimmel, Jerry J. Weygandt, Jill E. Mitchell
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