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ABC Co. purchased a machine on April 1, 2014 for $82,000 with an estimated useful life of 6 years and salvage value of $4,000. They
ABC Co. purchased a machine on April 1, 2014 for $82,000 with an estimated useful life of 6 years and salvage value of $4,000. They sold the machine on July 1, 2019, for $15,000. Assuming ABC Co. uses the straight line method of depreciating its assets, the journal entry to record the sale of the machine would include a:
A. | Debit to Loss for $1,250 | |
B. | Credit to Machine for $13,750 | |
C. | Credit to Gain for $1,250 | |
D. | Credit to Accumulated Depreciation for $68,250 | |
E. | Debit to Cash $13,750 |
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