Bennie Razor Company has decided to sell one of its old manufacturing machines on January 1, 2020. The machine was purchased for $80,000 on January 1, 2016, and was depreciated on a straight-line basis for 10 years assuming no salvage value. If the machine was sold for $26,000, what was the amount of the gain or loss recorded at the time of the sale a. $22,000 loss O b. $26,000 gain O c. $32,000 gain O d. $54,000 loss

Bennie Razor Company has decided to sell one of its old manufacturing machines on January 1, 2020. The machine was purchased for $80,000 on January 1, 2016, and was depreciated on a straight-line basis for 10 years assuming no salvage value. If the machine was sold for $26,000, what was the amount of the gain or loss recorded at the time of the sale a. $22,000 loss O b. $26,000 gain O c. $32,000 gain O d. $54,000 loss

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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