Chong Company purchased a machine for P2,500,000 cash on July 1, 2015 with an estimated useful life of 10 years and an estimated residual value of P100,000. Depreciation was recorded on a monthly basis using straight-line method. The machine was sold for P1,200,000 on September 30, 2021. Calculate the loss or gain of the company.

Answer rating: 100% (QA)

To calculate the gain or loss on the sale of the machine we need to determine the book value of the ... View the full answer