Question
Monet Company decides to exchange some equipment for new equipment. The details are shown below: Equipment (old) cost $6,480 Acc. Depreciation 3,570 Instructions: Record the
Monet Company decides to exchange some equipment for new equipment. The details are shown below:
Equipment (old) cost $6,480
Acc. Depreciation 3,570
Instructions:
Record the exchange on the books of Monet assuming the transaction lacks commercial substance, the fair value of the old equipment is $2,600 and Monet had to pay $200 cash
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Record the exchange on the books of Monet assuming the transaction lacks commercial substance, the fair value of the old equipment is $3,390 and Monet had to pay $110 cash.
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