A company sold Inventory for $1.200 that was purchased for $700. The company records which of the following when it sells the Inventory using a perpetual inventory system? Multiple Choice No entry is required for cost of goods sold and inventory Debit Cost of Goods Sold $700, credit Inventory $700, Debit Cost of Goods Sold $1.200 credit Inventory $1200 Debit Inventory $700; credit Cost of Goods Sold $700. Alliance Products purchased equipment that cost $120,000. It had an estimated useful life of four years and no residual value. The equipment was depreciated by the straight-line method and was sold at the end of the second year of use. For what amount should Alliance record the gain or loss if the equipment is sold for $65,000? Multiple Choice Gain of $5,000 O Loss of $5.000. Neither a gain nor a loss since the equipment was sold at its book value Neither a gain nor a loss since the gain would not be recognized Bricktown Exchange purchases a copyright for $50,000. The copyright has a remaining legal life of 25 years, but only an expected useful life of five years with no residual value. Assume the company uses the straight line method to record amortization. What is the carrying value of the copyright at the end of the second year? Multiple Choice $10,000 $40,000 $50,000 $30,000