On July 1, 20x1, one of Sun Devil's delivery vans was completely destroyed in an accident. On that date, the van's book value was $2,500. On July 15, 20x1, Sun Devil received and recorded a $700 invoice for a new engine installed in the van in June that extended the van's life by 3 years. On July 15 they received another $500 invoice for various repairs that had been made to the van in early June. In August, Sun Devil received $3,500 as settlement for the claim under its insurance policy on the van. What amount should Sun Devil report as the gain/loss on disposal of the van? 0 $1,000 O $300 O $0 $(200) Bruins Co. acquired a machine on June 30, 20x1 and gave the seller a $20,000 cash down payment and a two year, $100,000, non-interest bearing note calling for four payments of P&l in the amount of $25,000 each. The payments are to be made semi-annually with the first payment beginning on December 31, 20x1. The prevailing rate of interest was 12% APR. 3% 6% 12% Present Value of Ordinary Annuity of $1 for 4 periods 3.72 3.47 3.04 Present Value of Ordinary Annuity of $1 for 8 periods 7.02 6.21 4.97 Bruins uses the straight-line method to depreciate its equipment with a 5-year life and no salvage. Determine the Book Value of the Equipment as of December 31, 20x1:$ $96,000 $108,000 $96,075 $85,400