On December 31, Strike Company decided to sell one of its batting cages. The initial cost of the equipment was $215,000 with accumulated depreciation of $185,000. Depreciation has been taken up to the end of the year. The company found a company that is willing to buy the equipment for $30,000. What is the amount of the gain or loss on this transaction? a. Gain of $30,000 b. Loss of $30,000 c. No gain or loss d. Cannot be determined
On December 31, Strike Company decided to sell one of its batting cages. The initial cost of the equipment was $215,000 with accumulated depreciation of $185,000. Depreciation has been taken up to the end of the year. The company found a company that is willing to buy the equipment for $30,000. What is the amount of the gain or loss on this transaction? a. Gain of $30,000 b. Loss of $30,000 c. No gain or loss d. Cannot be determined
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter7: Operating Assets
Section: Chapter Questions
Problem 11MCQ
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