Question: Wolf computer exchange a machine with a book value of 4 0 , 0 0 0 and a fair value of 4 5 , 0

Wolf computer exchange a machine with a book value of 40,000 and a fair value of 45,000 for a very similar machine in addition we paid 6000 as part of the exchange we should recognize

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!

Q:

1. On October 1, 20X1, a company purchased a piece of land by agreeing to pay the seller $450,000 in two years. If the company had borrowed the money from a bank to pay the seller immediately,...

Q:

Wolf Computer exchanged a machine with a book value of $40,000 and a fair value of $45,000 for a very similar machine. In addition, Wolf paid $6,000 as part of the exchange. Wolf should recognize:...

Q:

Wolf Computer exchanged a machine with a book value of $40,000 and a fair value of $35,000 for a patent. In addition, Wolf received $6,000 as part of the exchange. Wolf should recognize: a. loss of...

Q:

Wolf computer exchanged a machine with a book value of 40,000 and a fair value of 35000 for a patent. In addition, Wolf recieved 6000 as part of the exchange. wolf should recongize: No gain or loss a...

Q:

2. Wolf Computer exchanged a machine with a book value of $40,000 and a fair value of $45,000 for a patent. In addition to the machine, $6,000 in cash was given. Wolf should recognize: ...

Q:

Wolf Computer exchanged a machine with a book value of $40,000 and a fair value of $45,000 for a very similar machine. In addition, Wolf paid $6,000 as part of the exchange. Wolf should recognize:...

Q:

Brainer Company traded an old machine for a more up-to-date similar one. The cost of the old machine is $400,000 and was depreciated for a total of $115.000. On the date of exchange the old machines...

Q:

Equipment that cost $66,000 and has accumulated depreciation of $30,000 is exchanged for equipment with a fair value of $48,000 and $12,000 cash is received. The exchange lacked commercial substance....

Q:

Fernando Company traded machinery with original cost of $300,000 and accumulated depreciation of $15,000. It received in exchange from Rooney Company a machine with a fair value of $300,000. Fernando...

Q:

Hello, I need help with the 3 attached advanced accounting HW assignments. 9/10/2014 1. Assignment Print View award: 10.00 points Problem 3-20 [LO4a] Chapman Company obtains 100 percent of Abernethy...

Q:

Knowing that 25 P = lb, determine the range of values of for which equilibrium of the 18-lb block is maintained. ,=045 H = 0.35 18 lb P.

Q:

You are the accountant for a company that manufactures a single product for which the following data based on a budgeted capacity of 98,000 units per month, are as follows: Stock, output and sales...

Q:

Exercise 1 5 - 1 6 ( Static ) Part 2 Which of the following statements is prepared by both a private and public college or university? Multiple Choice Statement of net assets. Statement of cash...

Q:

Critique the methods used in this quantitative study and aim to find the answers to these questions. Was the collection of data using structured methods (in contrast to unstructured methods)...