A truck costing $15,000 and on which $14,000 of accumulated depreciation has been recorded was discarded as having no value.The entry to record this event would include a
A)gain of $1,000.
B)loss of $1,000.
C)credit to Accumulated Depreciation for $14,000.
D)credit to Equipment for $1,000.

Question

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The truck's book value is $1,000 ($15,000 cost - $14,000 accumulated depreciation). Discarding it with no value results in a $1,000 loss.

A Truck Costing $15,000 and on Which $14,000 of Accumulated