On January 1, 2020, Techno Company sold a machine for RO15,000 cash. The Machine originally cost RO 56,000. As of January 1, 2020, it had accumulated depreciation of RCO 35,000. Prepare the journal entry to record the sales of the Machine Select one: O a. 15,000 35,000 6,000 Cash Accumulated Depreciation Loss on disposal of Machine Machine 56,000 O b. Accumulated Depreciation 35,000 Equipment 35,000 O C. Truck 56,000 ll lis üS

On January 1, 2020, Techno Company sold a machine for RO15,000 cash. The Machine originally cost RO 56,000. As of January 1, 2020, it had accumulated depreciation of RCO 35,000. Prepare the journal entry to record the sales of the Machine Select one: O a. 15,000 35,000 6,000 Cash Accumulated Depreciation Loss on disposal of Machine Machine 56,000 O b. Accumulated Depreciation 35,000 Equipment 35,000 O C. Truck 56,000 ll lis üS

Name: On January 1, 2020, Techno Company sold a machine for RO15,000 cash.
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Description: On January 1, 2020, Techno Company sold a machine for RO15,000 cash. The Machine originally cost RO 56,000.As of January 1, 2020, it had accumulated depreciation of RO 35,000. Prepare the journal entry to record the salesof the MachineSelect one:О.1

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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Concept explainers

Depreciation Methods

The word "depreciation" is defined as an accounting method wherein the cost of tangible assets is spread over its useful life and it usually denotes how much of the assets value has been used up. The depreciation is usually considered as an operating expense. The main reason behind depreciation includes wear and tear of the assets, obsolescence etc.

Depreciation Accounting

In terms of accounting, with the passage of time the value of a fixed asset (like machinery, plants, furniture etc.) goes down over a specific period of time is known as depreciation. Now, the question comes in your mind, why the value of the fixed asset reduces over time.

Topic Video

Question

On January 1, 2020, Techno Company sold a machine for RO15,000 cash. The Machine originally cost RO 56,000.
As of January 1, 2020, it had accumulated depreciation of RO 35,000. Prepare the journal entry to record the sales
of the Machine
Select one:
О.
15,000
35,000
Cash
Accumulated Depreciation
Loss on disposal of Machine
Machine
6,000
56,000
O b.
Accumulated Depreciation
35,000
Equipment
35,000
O c.
Truck
56,000
直。
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