Question: Using the indirect method, the increase in accumulated depreciation is added to net income in the operating section. True False ABC Company exchanged a number

Using the indirect method, the increase in accumulated depreciation is added to net income in the operating section. True False ABC Company exchanged a number of used trucks plus cash for a semi-truck. The used trucks have a combined book value of $40, 000 (cost $61, 000 less $21, 000 accumulated depreciation). ABC's purchasing agent, experienced in the second-hand market, indicate that the used trucks have a fair market value of $48,000. In addition to the trucks, Interest must pay $10, 000 cash for the semi-truck. Prepare the Journal entry for the exchange, if there is commercial substance and if no commercial substance

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