On December 31, Strike Company sold one of its batting cages for $20,000.  The equipment had an initial cost of $310,000 and had accumulated depreciation of $260,000.  Depreciation has been recorded up to the end of the year. What is the amount of the gain or loss on this transaction? Group of answer choices loss of $30,000 gain of $30,000 loss of $20,000 gain of $20,000

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter11: Depreciation, Depletion, Impairment, And Disposal
Section: Chapter Questions
Problem 4RE: Utica Machinery Company purchases an asset for 1,200,000. After the machine has been used for 25,000...
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On December 31, Strike Company sold one of its batting cages for $20,000.  The equipment had an initial cost of $310,000 and had accumulated depreciation of $260,000.  Depreciation has been recorded up to the end of the year. What is the amount of the gain or loss on this transaction?

Group of answer choices
loss of $30,000
gain of $30,000
loss of $20,000
gain of $20,000
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