Assignment 1 iUn Company sold office equipment with a cost of $38,520 and accumulated depreciation of $33,456 for $6,620.Requireda. What is the book value of the asset at the time of sale?b. What is the amount of gain or loss on the disposal?c. How would the sale affect net income (increase, decrease, no effect) and by how much?d. How would the sale affect the amount of total assets shown on the balance sheet (increase, decrease, no effect) and by how much?e. How would the event affect the statement of cash flows (inflow, outflow, no effect) and in what section?a.b.C.d.e.SavedBook valueGain (loss) on saleNet income wouldTotal assets wouldEffectSectionbyby

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Un Company sold office equipment with a cost of $38,520 and accumulated depreciation of $33,456 for $6,620. Required a. What is the book value of the asset at the time of sale? b. What is the amount of gain or loss on the disposal? c. How would the sale affect net income (increase, decrease, no effect) and by how much? decrease no effect) and by h

Un Company sold office equipment with a cost of $38,520 and accumulated depreciation of $33,456 for $6,620. Required a. What is the book value of the asset at the time of sale? b. What is the amount of gain or loss on the disposal? c. How would the sale affect net income (increase, decrease, no effect) and by how much? decrease no effect) and by h

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter3: Basic Accounting Systems: Accrual Basis

Section: Chapter Questions

Problem 3.23E: Adjustment for depreciation The estimated amount of depredation on equipment for the current year is...

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