On July 1, 2020, Hale Kennels sells equipment for $80,000. The equipment originally cost $300,000, had an estimated 5-year life and an expected residual value of $50,000. The accumulated depreciation account had a balance of $225,000 on January 1, 2020, using the straight-line method. The gain or loss on disposal is Select one: a. $30,000 gain. b. $45,000 gain. c. $45,000 loss. d. $30,000 loss.

On July 1, 2020, Hale Kennels sells equipment for $80,000. The equipment originally cost $300,000, had an estimated 5-year life and an expected residual value of $50,000. The accumulated depreciation account had a balance of $225,000 on January 1, 2020, using the straight-line method. The gain or loss on disposal is Select one: a. $30,000 gain. b. $45,000 gain. c. $45,000 loss. d. $30,000 loss.

Name: On July 1, 2020, Hale Kennels sells equipment for $80,000. The equipm
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Description: On July 1, 2020, Hale Kennels sells equipment for $80,000. The equipment originally cost $300,000, had anestimated 5-year life and an expected residual value of $50,000. The accumulated depreciation account had abalance of $225,000 on January 1, 202

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 11MCQ

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