On September 12, Pina Company agreed to an exchange of assets with another company. Pina gave up a machine with an original cost of $50,800. $30,200 in accumulated depreciation had been recorded on this machine over the course of Pina's ownership. Pina determined that the machine being given up had a fair value of $18,000. Pina also paid $7,000 in cash. Assume that Pina follows IFRS and that the transaction has commercial substance. Prepare the journal entry to record the asset exchange on Pina's books. (Credit account titles are automatically indented when the amount

On September 12, Pina Company agreed to an exchange of assets with another company. Pina gave up a machine with an original cost of $50,800. $30,200 in accumulated depreciation had been recorded on this machine over the course of Pina's ownership. Pina determined that the machine being given up had a fair value of $18,000. Pina also paid $7,000 in cash. Assume that Pina follows IFRS and that the transaction has commercial substance. Prepare the journal entry to record the asset exchange on Pina's books. (Credit account titles are automatically indented when the amount

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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