Match the descriptions with their terms:
-When the carrying amount of asset is greater than the proceeds received from its sale.
A) Gain on disposal
B) Loss on disposal
C) Trademark
D) Finance lease
E) Asset turnover
F) Average useful life
G) Goodwill
H) Agricultural assets
I) Intangible asset
J) Research costs

Question

Quizplus · Accepted Answer

When the carrying amount of an asset is greater than the proceeds received from its sale, it results in a loss on disposal. This is because the asset is sold for less than its recorded value on the books.

Match the Descriptions with Their Terms