A firm sold for $$ 10,000$ a machine that originally cost $$ 30,000$ and had accumulated depreciation
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A firm sold for $\$ 10,000$ a machine that originally cost $\$ 30,000$ and had accumulated depreciation of $\$ 24,000$ (book value $=\$ 6,000$ ). Why does accounting include a gain on sale of machine of $\$ 4,000$ in the income statement instead of showing sales revenue of $\$ 10,000$ and cost of machine sold of $\$ 6,000$ ?
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Related Book For 
Financial Accounting An Introduction To Concepts Methods And Uses
ISBN: 9780324183511
10th Edition
Authors: Clyde P. Stickney, Roman L. Weil
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