Pryce Company owns equipment that cost $65,000 when purchased on January 1, 2016. It has been depreciated
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Instructions
Prepare Pryce Company's journal entries to record the sale of the equipment in these four independent situations.
(a) Sold for $31,000 on January 1, 2019.
(b) Sold for $31,000 on May 1, 2019.
(c) Sold for $11,000 on January 1, 2019.
(d) Sold for $11,000 on October 1, 2019.
Salvage Value
Salvage value is the estimated book value of an asset after depreciation is complete, based on what a company expects to receive in exchange for the asset at the end of its useful life. As such, an asset’s estimated salvage value is an important...
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Related Book For
Financial Accounting
ISBN: 978-1119305736
10th edition
Authors: Jerry J. Weygandt, Donald E. Kieso, Paul D. Kimmel
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