ABC Company purchases a truck by paying $5000 cash and surrendering a piece of equipment with a book value of $12,000 and a fair value of $15,000. What is the cost of the truck acquired in this trade? A. $15,000 B. $20,000 C. $17,000 D. $10,000

A small truck is purchased for $22,000. It is expected to be of use to the company for 9 years, after which it will be sold for $4,000. Determine the depreciation deduction and the resulting unrecovered investment during each year of the asset’s life. Part a Use straight-line depreciation: EOY Depreciation Deduction Unrecovered Investment 0   $enter a dollar amount 1 $enter a dollar amount $enter a dollar amount 2 $enter a dollar amount $enter a dollar amount 3 $enter a dollar amount $enter a dollar amount 4 $enter a dollar amount $enter a dollar amount 5 $enter a dollar amount $enter a dollar amount 6 $enter a dollar amount $enter a dollar amount 7 $enter a dollar amount $enter a dollar amount 8 $enter a dollar amount $enter a dollar amount 9 $enter a dollar amount $enter a dollar amount Carry all interim calculations to 5 decimal places and then round your final answer to the nearest dollar. The tolerance is ±10.…

Pina Company purchased equipment and incurred these costs: Cash price Sales taxes Insurance during transit Annual maintenance costs Total costs $25800 O $27090 O $27930 O $25800 O $27480 1290 390 450 $27930 What amount should be recorded as the cost of the equipment?

3. If a vehicle is bought for $40,000, has a scrap value of $4,000, and a reducing balance method with a depreciation rate of 25% is used, what is the book value of the vehicle at the end of year 4?