Answered step by step
Verified Expert Solution
Question
1 Approved Answer
DJ,UUU on December 31, 2018, Far Niente Winery sold a wine press for $545,000; the wine press had many cost $900,000. Cash was paid by
DJ,UUU on December 31, 2018, Far Niente Winery sold a wine press for $545,000; the wine press had many cost $900,000. Cash was paid by the buyer of the press. Accumulated Depreciation on the press, updated to the date of disposal, was $450,000. What is the journal entry to record the disposal of the asset? A) Debit Cash and credit Gain on Disposal for $95,000. B) Debit Cash and credit Equipment for $545,000. C) Debit Cash for $545,000, debit Accumulated Depreciation for $260,000, debit Loss on Disposal for $95,000, and credit Equipment for $900,000. D) Debit Cash for $545,000, debit Accumulated Depreciation for $450,000, credit Gain on Disposal for $95,000, and credit Equipment for $900,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started