Question
A machine cost $1196000, has annual depreciation of $199000, and has accumulated depreciation of $947000 on December 31, 2017. On April 1, 2018, when the
A machine cost $1196000, has annual depreciation of $199000, and has accumulated depreciation of $947000 on December 31, 2017. On April 1, 2018, when the machine has a fair value of $273000, it is exchanged for a machine with a fair value of $1355000 and the proper amount of cash is paid. The exchange had commercial substance. The new machine should be recorded at
A. $1355000
B. $1331000
C. $1082000
D. $1220000
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Auditing Explained A Practical Guide For Managers
Authors: John Dunn
1st Edition
0749405619, 978-0749405618
