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Faucet Landscaping purchased a tractor at a cost of $36,000 and sold it three years later for $18,000. Faucet accounted for lepreciation using the straight-line
Faucet Landscaping purchased a tractor at a cost of $36,000 and sold it three years later for $18,000. Faucet accounted for lepreciation using the straight-line method, a five-year service life, and a $2,000 residual value. Tractors are included in the Equipment account. Required: 1. Determine the financial statement effects of the sale of the tractor. 2. Assume the tractor was sold for $11,200 instead of $18,000. Determine the financial statement effects of the sale. Complete this question by entering your answers in the tabs below. Determine the financial statement effects of the sale of the tractor. Note: Amounts to be deducted should be indicated by a minus sign
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