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copy machine cost $ 45 comma 000 when new and has accumulated depreciation of $ 44 comma 000. Suppose Print and Photo Ce...

copy machine cost $ 45 comma 000 when new and has accumulated depreciation of $ 44 comma 000. Suppose Print and Photo Center sold the machine for $ 1 comma 000. What is the result of this disposal​ transaction? A. Loss of $ 1 comma 000 B. Loss of $ 44 comma 000 C. Gain of $ 1 comma 000 D. No gain or loss

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Answer #1

Book value as on date of disposal=Cost-Accumulated Depreciation

=(45,000-44,000)=$1000

Hence since sale proceeds=book value as on date of disposal;

Hence there is no gain or loss on sale.

Hence the correct option is:

D. No gain or loss

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