value and book value of the restaurant equipment were $14,000 and $9,000 (original cost of $44,000 less accumulated depreciatio of $35,000), respectively. To equalize market values of the exchanged assets, China Inn paid $7,000 in cash to Midwest Chicken. Record the gain or loss for China Inn on the exchange of the equipment. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet < 1 Record the gain or loss for China Inn on the exchange of the equipment. Note: Enter debits before credits. Transaction 1 Record entry General Journal Clear entry Debit Credit View general journal
value and book value of the restaurant equipment were $14,000 and $9,000 (original cost of $44,000 less accumulated depreciatio of $35,000), respectively. To equalize market values of the exchanged assets, China Inn paid $7,000 in cash to Midwest Chicken. Record the gain or loss for China Inn on the exchange of the equipment. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet < 1 Record the gain or loss for China Inn on the exchange of the equipment. Note: Enter debits before credits. Transaction 1 Record entry General Journal Clear entry Debit Credit View general journal
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:China Inn and Midwest Chicken exchanged assets. China Inn received delivery equipment and gave restaurant equipment. The fair
value and book value of the restaurant equipment were $14,000 and $9,000 (original cost of $44,000 less accumulated depreciation
of $35,000), respectively. To equalize market values of the exchanged assets, China Inn paid $7,000 in cash to Midwest Chicken.
Record the gain or loss for China Inn on the exchange of the equipment. (If no entry is required for a particular transaction/event,
select "No Journal Entry Required" in the first account field.)
View transaction list
Journal entry worksheet
1
Record the gain or loss for China Inn on the exchange of the equipment.
Note: Enter debits before credits.
Transaction
1
Record entry
General Journal
Clear entry
Debit
Credit
View general journal
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