Cedric Company recently traded in an older model computer for a new model. The old models book
Fantastic news! We've Found the answer you've been seeking!
Question:
Cedric Company recently traded in an older model computer for a new model. The old model’s book value was $288,000 (original cost of $628,000 less $340,000 in accumulated depreciation) and its fair value was $320,000. Cedric paid $72,000 to complete the exchange which has commercial substance.
Required:
Prepare the journal entry to record the exchange. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)
- Record the exchange of assets.
Note: Enter debits before credits.
|
Related Book For
Intermediate Accounting
ISBN: 978-0077400163
6th edition
Authors: J. David Spiceland, James Sepe, Mark Nelson
Posted Date: