On January 31, 2016, Wilson Trucking sells a trailer before the end of its service life. The trailer cost $80,000 with a service life of 80 months and no salvage value. Based on straight-line depreciation, the monthly depreciation is $1,000. Wilson Trucking sells the trailer for $45,000 in cash when the trailer is 40 months old. Depreciation was last recorded on December 31, 2015. What should Wilson Trucking record? Group of answer choices Gain of $5,000 Loss of $5,000 Gain of $1,000 Loss of $1,000

Answer rating: 100% (QA)

To determine the gain or loss on the sale of the trailer we need to compare the proceeds from the ... View the full answer