On December 31, 2021, Plattsville Plastics recently decided to dispose of an extrusion machine. The original cost was $461,000 and accumulated depreciation was $310,389. On December 31, 2021, the fair value of the machine was determined to be $110,000. On December 31, 2022, the fair value of the machine was determined to be $164,000. Which of the following would be included in a related adjusting entry on December 31, 2022? Group of answer choices credit Gain on Machine Held for Disposal for $54,000 No adjusting entry is required. credit Gain on Machine Held for Disposal for $164,000 credit Gain on Machine Held for Disposal for $40,611

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On December 31, 2021, Plattsville Plastics recently decided to dispose of an extrusion machine. The original cost was $461,000 and accumulated depreciation was $310,389. On December 31, 2021, the fair value of the machine was determined to be $110,000. On December 31, 2022, the fair value of the machine was determined to be $164,000. Which of the following would be included in a related adjusting entry on December 31, 2022?
Group of answer choices
credit Gain on Machine Held for Disposal for $54,000
No adjusting entry is required.
credit Gain on Machine Held for Disposal for $164,000
credit Gain on Machine Held for Disposal for $40,611
 
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