On December 31, 2020, Mark Company decided to sell its equipment that was purchased for $10,000 on January 1, 2017. The equipment had a salvage value of $2,000 with a 4 years useful life. The equipment was sold for $2,300.

What is the Book Value amount of the equipment at the date of disposal? *

a-$8,000

b-$6,000

c-$4,000

d-None of the above

What is the result of this disposal? *

a-Gain

b-Loss

c-None

The sale entry of the equipment will include a: *

a-Credit of Gain on Disposal of $3,000

b-Debit of Accumulated Depreciation $2,000

c-Debit of Cash $2,300

d-None of the above