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Question 1 (1 point) Pensacola Inc. exchanged old equipment for new equipment in two exchange transactions. Each transaction

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Answer #1
1) For equipment A pensacola would record the new equipment
at (80000-12000) = $68000
pensacola received cash in exchange & transaction has commercial substance
therefore pensacola will record new equipment fair value less cash received
Therefore Option $68000 is CORRECT
2) equipment (90000+9000) 99000
loss (106000-99000)+9000 16000
Option "A" is CORRECT
3) addition of refrigerator to delivery truck increase capability
Option " Addition " IS CORRECT

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