Question
Equipment that cost $752400 and has accumulated depreciation of $342000 is exchanged for equipment with a fair value of $547200 and $136800 cash is received.
Equipment that cost $752400 and has accumulated depreciation of $342000 is exchanged for equipment with a fair value of $547200 and $136800 cash is received. The exchange lacked commercial substance.
The new equipment should be recorded at
$328320.
$547200.
$273600.
$342000.
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Accounting
Authors: Peter J Eisen
6th Edition
143800138X, 978-1438001388
