A machine cost $1272000, has annual depreciation of $212000, and has accumulated depreciation of $1007000 on December 31, 2020. On April 1, 2021, when the machine has a fair value of $291500, it is exchanged for a machine with a fair value of $1431000 and the proper amount of cash is paid. The exchange had commercial substance. The new machine should be recorded at O $1139500. O $1431000. O $1298500.

A machine cost $1272000, has annual depreciation of $212000, and has accumulated depreciation of $1007000 on December 31, 2020. On April 1, 2021, when the machine has a fair value of $291500, it is exchanged for a machine with a fair value of $1431000 and the proper amount of cash is paid. The exchange had commercial substance. The new machine should be recorded at O $1139500. O $1431000. O $1298500.

Name: A machine cost $1272000, has annual depreciation of $212000, and has
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Description: A machine cost $1272000, has annual depreciation of $212000, and has accumulated depreciation of $1007000 on December 31, 2020. On April 1, 2021, when the machine has a fair value of$291500, it is exchanged for a machine with a fair value of $143100

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Subject :- Accounting
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