A truck costing $12,000, which has Accumulated Depreciation of $9,000, was sold for $2,000 cash. Theentry to record this event would include a:gain of $1,000.credit to the Vehicles account for $3,000.loss of $1,000.credit to Accumulated Depreciation for $9,000.

The book value of an asset is calculated by subtracting the accumulated depreciation from the…

Answered: A truck costing $12,000, which has…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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A truck costing $12,000, which has Accumulated Depreciation of $9,000, was sold for $2,000 cash. The entry to record this event would include a: gain of $1,000. credit to the Vehicles account for $3,000. loss of $1,000. credit to Accumulated Depreciation for $9,000.