Question: A personal computer that originally cost $ 5 , 0 0 0 has no estimated salvage value and was depreciated at the rate of 2

A personal computer that originally cost $5,000 has no estimated
salvage value and was depreciated at the rate of 20% a year. At the
end of the third year, the computer was sold for $1,500 cash. The
transaction would result in a
gain of $1,500.
loss of $500.
gain of $250.
loss of $250.
 A personal computer that originally cost $5,000 has no estimated salvage

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!