A company purchased ten delivery vehicles at a cost of $20,000 each and used the group depreciatio method. Which of the following entries would be correct when recording the subsequent sale of a vehicl fcL $8,500 (group accumulated depreciation is $88,000)?

A. Cash…………............……….……… 8,500

Accumulated Depreciation ….…. 8,800

Vehicles …………………..........……. 17,300

B. Cash ……………………...........….… 8,500

Accumulated Depreciation …... 11,500

Vehicles …………………..........……. 20,000

C. Cash ………………………............… 8,500

Vehicles ………………………............. 8,500

D. Cash ……………………...........…… 8,500

Accumulated Depreciation …….. 8,800

Loss on Sale …………………........… 2,700

Vehicles ……………………..........… 20,000

Answer rating: 100% (QA)

B Cash 8500 ... View the full answer