Chapter 10 Acquisition and Disposition of Property Plant and

Chapter 10 Acquisition and Disposition of Property, Plant and Equipment

Riley, Inc. sold a piece of equipment for $60,000. The old equipment cost $70,000 and had a book value of $55,000. Prepare the journal entry to record the sale of the equipment.

Accumulated depreciation=Cost-Book value

=(70,000-55000)=$15000

Hence journal:

Cash a/c..Dr$60,000

Accumulated depreciation ..Dr$15000

To equipment $70,000

To gain on sales $5000.

Chapter 10 Acquisition and Disposition of Property, Plant and Equipment Riley, Inc. sold a piece of equipment for $60,000. The old equipment cost $70,000 and ha

Chapter 10 Acquisition and Disposition of Property Plant and

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