Ashton Company exchanged a nonmonetary asset with a cost of $30,000 and accumulated depreciation of $16,000 for another nonmonetary asset worth $12,000. Ashton also received $1,400 cash. In the entry to record this exchange, Ashton should record a: a. $2,000 loss Ob. $2,000 gain Oc. $600 gain Od. $600 loss Property, Plant, and Equipment The book value of an asset is best described by: Oa. Market value + accumulated depreciation. Ob. Cost-accumulated depreciation. c. Market value accumulated depreciation. d. Cost + accumulated depreciation. Property, Plant, and Equipment Electro Corporation bought a new machine and agreed to pay for it in equal annual installments of $5,000 at the end of each of the next 5 years. Assume a prevailing interest rate of 15%. The present value of an ordinary annuity of $1 at 15% for 5 periods is 3.35. The future amount of an ordinary annuity of $1 at 15% for 5 periods is 6.74. The present value of $1 at 15% for 5 periods is 0.5. How much should Electro record as the cost of the machine? $12,500 $33,700 $25,000 $16,750