Fast Pizza Delivery disposed of a delivery vehicle that had been used in the business for four
Question:
Fast Pizza Delivery disposed of a delivery vehicle that had been used in the business for four years. The records of the company provide the following information:
Delivery vehicle .........$35,000
Accumulated depreciation ..... 20,000
Calculate the gain or loss on the disposal of the delivery vehicle for each of the following independent situations:
1. Fast Pizza sold the delivery vehicle to the business manager for $15,000.
2. Fast Pizza sold the delivery vehicle to a homeless shelter for $10,000.
3. Fast Pizza sold the delivery vehicle to a customer for $17,000.
4. Fast Pizza caught on fire and the delivery vehicle was destroyed; Fast Pizza had no insurance.
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Related Book For
Financial Accounting: A Business Process Approach
ISBN: 978-0136115274
3rd edition
Authors: Jane L. Reimers
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