An asset that cost $25,000 was sold for $8,000 cash.Accumulated depreciation on the asset was $16,000.The entry to record this transaction includes the recognition of

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The asset was sold for $8,000 but its carrying value was $9,000 ($25,000 cost minus $16,000 accumulated depreciation). Therefore, there is a loss of $1,000 on the sale of the asset. The entry to record this transaction would be:
Cash $8,000
Accumulated Depreciation $16,000
Loss on sale of asset $1,000
Asset $25,000

An Asset That Cost $25,000 Was Sold for $8,000 Cash