Targanyka Winkfield 1 7918 557 P Test Exam 3 Chapters 79 Th

Targanyka Winkfield &1 7/9/18 557 P Test: Exam 3 - Chapters 7-9 This Question: 15 pts Time Remaining: 00 45 19 Submit T 307 (3 complete)Y This Test: 100 pls poss Counselors of Aldarta purchased equipment on January 1,2017, for $20,000 residual value of $2.000 Suppose Counselors depreciation for 2019 has been recorded Journalize the sale of the squipement, Counselors of Adanta expected the equipmont to last for four years and have a of Adanta sold the equipment for $8,000 on December 31, 2019, ather using the t aouming straight-line depreciation was used equipmont for throe full years Assume First,calculate any gain or loss on the disposal of the equipment Market value of assets recelved Less Bock value of asset disposed of Cost Less. Accumulated Depreciation Gain or (Loss Now, joumalize the sale of the equipment (Record debits fest, then credits Select the explanation on the last ino of the joumal antry table ) Dale Accounts and Explanation Debit Credit Dec. 31 Choose trom any sst or enter amy number in the t fields and enconn to the next quostion

Solution

Calculation :

Journal entry :

Market value of assets received		8000
Less: Book value of asset disposal of
Cost	20000
Less; Accumlated dep (20000-2000/4)*3	-13500	6500
Gain (loss)		1500