Jeffreys Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $240,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Jeffreys Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.
$\begin{array}{|l|l|l|}
\hline \text { At December 31 } &{\text { Y ear 2 }} & \text { Y ear 1 } \
\hline \text { Equipment } & \$ 510,000 & \$ 750,000 \
\hline \text { Accumulated Depreciation-Equipment } & 328,000 & 500,000\\hline
\end{array}$
A)$62,000.
B)$58,000.
C)$18,000.
D)$38,000.
E)$28,000.

Question

Jeffreys Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $240,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Jeffreys Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.
$\begin{array}{|l|l|l|}
\hline \text { At December 31 } &{\text { Y ear 2 }} & \text { Y ear 1 } \
\hline \text { Equipment } & \$ 510,000 & \$ 750,000 \
\hline \text { Accumulated Depreciation-Equipment } & 328,000 & 500,000\\hline 
\end{array}$
A)$62,000.
B)$58,000.
C)$18,000.
D)$38,000.
E)$28,000.

Quizplus · Accepted Answer

The Answer of Jeffreys Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $240,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Jeffreys Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.
$\begin{array}{|l|l|l|}
\hline \text { At December 31 } &{\text { Y ear 2 }} & \text { Y ear 1 } \
\hline \text { Equipment } & \$ 510,000 & \$ 750,000 \
\hline \text { Accumulated Depreciation-Equipment } & 328,000 & 500,000\\hline 
\end{array}$
A)$62,000.
B)$58,000.
C)$18,000.
D)$38,000.
E)$28,000.

Jeffreys Company Reports Depreciation Expense of $40,000 for Year 2