A fixed asset with a cost of $31,000 and accumulated depreciation of $27,900 is sold for...

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A fixed asset with a cost of $31,000 and accumulated depreciation of $27,900 is sold for...

A fixed asset with a cost of $31,000 and accumulated depreciation of $27,900 is sold for $5,270. What is the amount of the gain or loss on disposal of the fixed asset?

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Answer 1

Answer #1

>> Book Value of Asset = Cost of Asset - Accumulated Depreciation.

>> Book Value of Asset = $ 31,000 - $ 27,900

>> Book Value of Asset = $ 3,100

>> Gain / ( Loss ) = Sale value - Book Value

>> Gain / ( Loss ) = $ 5,270 - $ 3,100

>> Gain / ( Loss ) = $ 2,170.

>> Gain on disposal of the fixed asset = $ 2,170.

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Answer 2

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A fixed asset with a cost of $31,000 and accumulated depreciation of $27,900 is sold for...

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A fixed asset with a cost of $31,000 and accumulated depreciation of $27,900 is sold for...

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