Exercise 8-16 Disposal of assets LO P2 Diaz Company owns a machine that cost $126,800 and has accumulated depreciation of $93,000. Prepare the entry to record the disposal of the machine on January 1 in each seperate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2 Diaz sold the machine for $17,500 cash. 3. Diaz sold the machine for $33,800 cash. 4. Diaz sold the machine for $41,800 cash. X Answer is not complete. No Date General Journal Debit Credit 1. Jan 01 Accumulated depreciation-Machine 93,000 O 21 Jan 01 Cash 17,500 Accumulated depreciation-Machine 93,000 Loss on sale of machine 16,300 Machine 126,800 3 Jan 01 Cash 33,800 O Accumulated depreciation-Machine 93,000 O 4. Jan 01 Machine 126,800 X

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Chapter1: Financial Statements And Business Decisions
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Exerclse 8-16 Disposal of assets LO P2
Diaz Company owns a machine that cost $126,800 and has accumulated depreciation of $93,000. Prepare the entry to record the
disposal of the machine on January 1 in each seperate situation.
1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return.
2 Diaz sold the machine for $17,500 cash.
3. Diaz sold the machine for $33,800 cash.
4. Diaz sold the machine for $41,800 cash.
X Answer is not complete.
No
Date
General Journal
Debit
Credit
Jan 01
Accumulated depreciation-Machine
93,000 O
Jan 01
Cash
17,500
Accumulated depreciation-Machine
93.000
Loss on sale of machine
16,300
Machine
126.800 O
3
Jan 01
Cash
33,800 O
Accumulated depreciation-Machine
93.000
4
Jan 01
Machine
126,800 X
Transcribed Image Text:Exerclse 8-16 Disposal of assets LO P2 Diaz Company owns a machine that cost $126,800 and has accumulated depreciation of $93,000. Prepare the entry to record the disposal of the machine on January 1 in each seperate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2 Diaz sold the machine for $17,500 cash. 3. Diaz sold the machine for $33,800 cash. 4. Diaz sold the machine for $41,800 cash. X Answer is not complete. No Date General Journal Debit Credit Jan 01 Accumulated depreciation-Machine 93,000 O Jan 01 Cash 17,500 Accumulated depreciation-Machine 93.000 Loss on sale of machine 16,300 Machine 126.800 O 3 Jan 01 Cash 33,800 O Accumulated depreciation-Machine 93.000 4 Jan 01 Machine 126,800 X
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