Galloway Corporation sold equipment with an original cost of $120,000 for $55,000 cash and recorded a loss of $15,000.What was the balance in the accumulated depreciation account on the date of the sale?

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The balance in the accumulated depreciation account on the date of the sale is $60,000. This is because the original cost of the equipment was $120,000, the selling price was $55,000, and the loss on the sale was $15,000. Therefore, the accumulated depreciation must have been $60,000 ($120,000 - $55,000 - $15,000).

Galloway Corporation Sold Equipment with an Original Cost of $120,000