Alamos Co, exXchanged equipment and $18,500 cash for similar equipment. The book value and the fair value of the old equipment were $80,200 and $91,500, respectively. Assuming that the exchange has commercial substance, Alamos would record a gain/(loss) of: Multiple Choice $1,300. $29,800. $0.

Alamos Co, exXchanged equipment and $18,500 cash for similar equipment. The book value and the fair value of the old equipment were $80,200 and $91,500, respectively. Assuming that the exchange has commercial substance, Alamos would record a gain/(loss) of: Multiple Choice $1,300. $29,800. $0.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Alamos Co. exchanged equipment and $18,500 cash for similar equipment. The book value and the fair value of the old equipment were
$80,200 and $91,500, respectively.
Assuming that the exchange has commercial substance, Alamos would record a gain/(loss) of:
Multiple Choice
$11,300.
$29,800.
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$11,300.
$29.800.
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