Collicutt Energy Services Ltd. of Calgary, Alberta, reported the following for land, buildings, and equipment (in millions):
Question:
Collicutt Energy Services Ltd. of Calgary, Alberta, reported the following for land, buildings, and equipment (in millions):
________________________________________________________________________ December 31
__________________________________________________________________ 2017 _____________ 2016
Land, buildings, and equipment............................................. $ 544.1 ................ $ 575.1
Accumulated depreciation...................................................... (195.1) ................ (209.4)
During 2017, Collicutt Energy paid $74.2 million for new property and equipment. Depreciation for the year totaled $38.1 million. During 2017, Collicutt sold property and equipment for $20.2 million. How much was Collicutt's gain or loss on the sale of the property and equipment? How would this gain or loss be reported on the income statement?
Step by Step Answer:
Financial Accounting
ISBN: 978-0134564142
6th Canadian edition
Authors: Walter Jr. Harrison, Charles T. Horngren, C. William Thomas, Greg Berberich, Catherine Seguin