Diaz Company owns a machine that cost $125,600 and has accumulated depreciation of $94,600. Prepare the entry to record the disposal of the machine on January 1 in each separate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2. Diaz sold the machine for $16,700 cash. 3. Diaz sold the machine for $31,000 cash. 4. Diaz sold the machine for $40,200 cash. No 1 2 3 4 Date January 01 January 01 January 01 January 01 Cash Accumulated depreciation-Machine Loss on disposal of machine Machine Answer is complete but not entirely correct. Cash General Journal Accumulated depreciation-Machine Loss on disposal of machine Machine Cash Accumulated depreciation Machine Machine Accumulated depreciation-Machine Gain on disposal of machine Machine **** **** Debit 93,200 X 32,400 X 16,200 X 93,200 X 16,200 X 32,400 X 93,200 X 40,500 X 93,200 X Credit 12,560 X 125,600 125,600 8,100 x 125,600 Assessment Tool iFrame Return

Diaz Company owns a machine that cost $125,600 and has accumulated depreciation of $94,600. Prepare the entry to record the disposal of the machine on January 1 in each separate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2. Diaz sold the machine for $16,700 cash. 3. Diaz sold the machine for $31,000 cash. 4. Diaz sold the machine for $40,200 cash (8) Answer is complete but not entirely correct