Question
on january 1 , 2018 , judy company purchases an office equipment for $ 17000 with an estimated useful life of 5 years and $2000
on january 1 , 2018 , judy company purchases an office equipment for $ 17000 with an estimated useful life of 5 years and $2000 salvage value. on december 31 , 2019 , judy company exchanged its equipment with carla company for newer equipment and pays 4000$ cash. at the date of exchange, the old equipment had a fair value of 5,000$. the straight line method of depreciation is used and financial statements are prepared yearly at december 31.
1) The amount of Annual Depreciation Expense: *
2) The amount of Accumulated Depreciation at the date of exchange: *
3) The amount of Book Value at the date of exchange: *
4) The Cost of the New Equipment: *
5) The Gain or Loss amount: *
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