Circle cellar sells equipment on June 1 2021 for $695,000 cash. Circle incurred 4000 of removal and selling costs on disposal. The equipment cost $1,250,000 when it was purchased on january 2, 2018. Its estimated residual value and useful life were $200000 and 10 years respectively. cirlce uses straight line depreciation, and records annual depreciation on each december 31. Prepare the journal ENTRIES needed to record the asset disposal on june 1, 2021

Circle cellar sells equipment on June 1 2021 for $695,000 cash. Circle incurred 4000 of removal and selling costs on disposal. The equipment cost $1,250,000 when it was purchased on january 2, 2018. Its estimated residual value and useful life were $200000 and 10 years respectively. cirlce uses straight line depreciation, and records annual depreciation on each december 31. Prepare the journal ENTRIES needed to record the asset disposal on june 1, 2021

Name: Circle cellar sells equipment on June 1 2021 for $695,000 cash. Circl
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Description: Circle cellar sells equipment on June 1 2021 for $695,000 cash. Circle incurred4000 of removal and selling costs on disposal. The equipment cost $1,250,000when it was purchased on january 2, 2018. Its estimated residual value and usefullife were $20

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 9MCQ: Chapman Inc. purchased a piece of equipment in 2018. Chapman depreciated the equipment on a...

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