Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. a machine cost $40,000 and has accumulated depreci

A machine cost $40,000 and has accumulated depreciation of $22,000 on December 31, 2014. At...

50.1K

Verified Solution

Question

Accounting

A machine cost $40,000 and has accumulated depreciation of $22,000 on December 31, 2014. At that time, the machine had a fair value of $16,000 and has been exchanged for a similar machine with a fair value of $48,000 and the proper amount of cash is paid. The exchange lacked commercial substance.

Prepare the necessary journal entry to record the above exchange.

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Psychology
1.2K views

You should have at least 20 substantive journal entries (use roughly 110+ words as an average...

Biology
1.2K views

Which trait is NOT true for Euglena O they have an eye spot they can...

Biology
1.2K views

How should you prepare for a possible tsunami? Select the three correct answers.A. Bring lawn...

Calculus
1.2K views

the exact value of the expression COS sin 53

Calculus
1.2K views

4 Write an equation of a polynomial with a intercepts at x 6 x 2...

Accounting
1.2K views

1. Predetermined OH rates (1pt): Konerko Corporation bases its predetermined overhead rate on the estimated...

Accounting
1.2K views

Myers Company uses a flexible budget for manufacturing overhead based on direct labor hours. Variable...

Accounting
1.2K views

The survey results from the National Association of Colleges and Employers (NACE) show the average...

Accounting
1.2K views

Dear lecturers, can you help me to solve this question ? your help will be...

Accounting
1.2K views

You are considering a new product launch. The project will cost $2,250,000, have a 4...

Accounting
1.2K views

Choose the appropriate term to match the term and the definition. Not all definitions will...

Accounting
1.2K views

A credit portfolio from year-2000 vintage now contains 20 low risk and 7 high risk...