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VQT Companies is the world's leading express-distribution company. In addition to its 643 aircraft, the company has more than 57,000 ground vehicles that pick up
VQT Companies is the world's leading express-distribution company. In addition to its 643 aircraft, the company has more than 57,000 ground vehicles that pick up and deliver packages. Assume that VQT sold a delivery truck for $8,000. VQT had originally purchased the vehicle and recorded it in the Truck account for $14,000 and had recorded depreciation for three years. 2. Using the following structure, indicate the effects (accounts, amounts, and + for increase and - for decrease) of the disposal of the truck, assuming Accumulated Depreciation-Truck was (a) $6,000, (b) $4,000, and (c) $9,000. (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.) Assets Liabilities + Stockholders' Equity (a) Cash 8,000 + + - + - + Loss on Disposal of PPE - + (a) Truck (a) Accumulated Depreciation-Truck (b) Cash (b) Truck (b) Accumulated Depreciation-Truck (c) Cash (c) Truck (C) Accumulated Depreciation-Truck + + Gain on Disposal of PPE - + +
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