The engine of a truck burned out and needed to be replaced two years after it was originally purchased. The original cost of the engine was $7,000 with a useful life of five years and salvage value of $1,000.  The journal entry to record the disposal of the engine includes A credit to Cash for $7,000 A credit to Equipment (Truck) for $4,600 A credit to Equipment (Truck) for $7,000 A debit to Accumulated Depreciation for $1,000

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A: Certainly, straight-line depreciation allocates the cost of an asset minus its salvage value evenly…

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A: Introduction:- The following Basic information needs to understand as follows under:- Denim, Inc.…

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A: JOURNAL ENTRIESJournal Entry is the First stage of Accounting Process. Journal Entry is the Process…

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A: JOURNAL ENTRIESJournal Entry is the First stage of Accounting Process. Journal Entry is the Process…

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A: DEPRECIATION UNDER STRAIGHT LINE METHOD = (COST OF ASSET - SALVAGE VALUE) / USEFUL LIFE OF ASSET…

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A: Depreciation is loss in the value of asset over its useful life. straight line depreciation formula:…

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A: Formula: Straight line method depreciation: = ( Asset value - Salvage value ) / Useful life

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A: JOURNAL ENTRIESJournal Entry is the First stage of Accounting Process. Journal Entry is the Process…

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A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

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