Aye Company's computer was destroyed by fire.The computer originally cost $5,000,and accumulated depreciation to the date of the fire was $900.The company received $2,000 from an insurance policy that covered the computer and will use that money to help pay for a new computer.Prepare the general journal entry to record the loss of the computer and the receipt of cash from the insurance company.

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The Answer of Aye Company's computer was destroyed by fire.The computer originally cost $5,000,and accumulated depreciation to the date of the fire was $900.The company received $2,000 from an insurance policy that covered the computer and will use that money to help pay for a new computer.Prepare the general journal entry to record the loss of the computer and the receipt of cash from the insurance company.

Aye Company's Computer Was Destroyed by Fire