Disposition of Tangible Capital Assets}

In order to provide capital for new hotel construction in other locations, Wilton Hotel Corporation has decided to sell its hotel in Digby, Nova Scotia. Wilton auctions the hotel and its contents on October 1, 2018, with the following results:

\section*{Required:}
1. Prepare a separate journal entry to record the disposition of each of these assets.
2. CONCEPTUAL CONNECTION Explain how the disposals of these tangible capital assets would affect the current period financial statements.
\section*{OBJECTIVE 1011 Problem

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Land Building $600,000 Furniture 225,000 120,000 Wilton's accounting records reveal the following information about the assets sold: Acquisition Accumulated Asset Cost Depreciation Land $ 55,000 Building Furniture 350,000 285,500 $155,000 133,000