The plant assets section of the comparative balance sheets of Anders Company is reported below. ANDERS COMPANY Comparative Balance Sheets 2017 2016 Plant assets Equipment $ 180,000 $ 270,000 Accum. Depr.—Equipment (100,000 ) (210,000 ) Equipment, net $ 80,000 $ 60,000 Buildings $ 380,000 $ 400,000 Accum. Depr.—Buildings (100,000 ) (285,000 ) Buildings, net $ 280,000 $ 115,000 During 2017, equipment with a book value of $40,000 and an original cost of $210,000 was sold at a loss of $3,000. 1. How much cash did Anders receive from the sale of equipment? 2. How much depreciation expense was recorded on equipment during 2017? 3. What was the cost of new equipment purchased by Anders during 2017?
The plant assets section of the comparative balance sheets of Anders Company is reported below. ANDERS COMPANY Comparative Balance Sheets 2017 2016 Plant assets Equipment $ 180,000 $ 270,000 Accum. Depr.—Equipment (100,000 ) (210,000 ) Equipment, net $ 80,000 $ 60,000 Buildings $ 380,000 $ 400,000 Accum. Depr.—Buildings (100,000 ) (285,000 ) Buildings, net $ 280,000 $ 115,000 During 2017, equipment with a book value of $40,000 and an original cost of $210,000 was sold at a loss of $3,000. 1. How much cash did Anders receive from the sale of equipment? 2. How much depreciation expense was recorded on equipment during 2017? 3. What was the cost of new equipment purchased by Anders during 2017?
Chapter1: Financial Statements And Business Decisions
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The plant assets section of the comparative
| ANDERS COMPANY | ||||||||
| Comparative Balance Sheets | ||||||||
| 2017 | 2016 | |||||||
| Plant assets | ||||||||
| Equipment | $ | 180,000 | $ | 270,000 | ||||
| Accum. Depr.—Equipment | (100,000 | ) | (210,000 | ) | ||||
| Equipment, net | $ | 80,000 | $ | 60,000 | ||||
| Buildings | $ | 380,000 | $ | 400,000 | ||||
| Accum. Depr.—Buildings | (100,000 | ) | (285,000 | ) | ||||
| Buildings, net | $ | 280,000 | $ | 115,000 | ||||
During 2017, equipment with a book value of $40,000 and an original cost of $210,000 was sold at a loss of $3,000.
1. How much cash did Anders receive from the sale of equipment?
2. How much
3. What was the cost of new equipment purchased by Anders during 2017?
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