Knowledge Check 01 If a company sells one of its trucks for consideration (cash and receivables) that is less than the book value of the truck (updated through the date of the sale), which of the following is true?

Multiple Choice

• A gain will be recognized by the seller

• A loss will be recognized by the seller

• No gain or loss is recognized by the seller

• Not enough information is provided to determine whether a gain or loss will be recognized by the seller