Cheesecake Factory Restaurant Company purchased equipment that cost $520,000. It had an estimated useful life of eight years and no residual value. The equipment was depreciated by the straight-line method and was sold at the end of the fifth year of use. For what amount should Cheesecake Factory record the gain or loss if the equipment is sold for $187,000? Make the journal entry. Account Name Debit Credit

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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Cheesecake Factory Restaurant Company purchased equipment that cost $520,000. It had an estimated useful life of eight years and no residual value. The equipment was depreciated by the straight-line method and was sold at the end of the fifth year of use.

For what amount should Cheesecake Factory record the gain or loss if the equipment is sold for $187,000? Make the journal entry.

Account Name Debit Credit
     
     
     
   
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Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
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