ACCT231

Swann Company sold a delivery truck on April 1, 2019. Swann had acquired the truck on January 1, 2015, for \$45,500. At acquisition, Swann had estimated that the truck would have an estimated Le of 5 years and a residual value of $3,000. Swann uses the stralght-line method of depreciation. At December 31, 2018, the truck had a book value of $11,500. Required: 1. Prepare any necessary joumat entries to record the sale of the truck, assuming it sold for: a. $11,125 b. 57,525 2. How should the gain or loss on disposat be reported on the income statement? 3. Assume that Swann uses IFRS and sold the truck for $11,125. In addition, Swann had previously recorded a revatuation sumplus related to this machine of $4,500. What joumal endries are required to record the sale