A firm sold for $10,000 a machine that originally cost $30,000 and had accumulated depreciation of $24,000
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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 the sale of the 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 Introduction To Concepts Methods And Uses
ISBN: 9780324222975
11th Edition
Authors: Clyde P. Stickney, Roman L. Weil
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