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A company bought a computer for $1,500. Three years later, the computer was sold for $300
A company bought a computer for $ 1,500. Three years later, the computer was sold for $300. Assuming a 5-year estimated service life and straight-line depreciation, which account(s) would be used to record the disposal of the assets? Select all that apply.
A. Gain/loss on sale of asset
B. Sales Income
C. Depreciation Expense
D. Fixed Assets
E. Accumulated depreciation
Answer:
A. Gain/loss on sale of asset
B. Sales Income
The correct answer is A. Gain/loss on sale of the asset and B. Sales Income. When a company disposes of an ass... More