During 2014, King Co. sold equipment that had cost $82,000 for $49,200. This resulted in a gain of $4,300. The balance in Accumulated Amortization--Equipment was $270,000 on January 1, 2014, and $258,000 on December 31. No other equipment was disposed of during 2014. Calculate the amount of amortization expense for 2014. King Co. has a calendar year-end and adjusting entries are only made at year-end.

Question

Quizplus · Accepted Answer

The Answer of During 2014, King Co. sold equipment that had cost $82,000 for $49,200. This resulted in a gain of $4,300. The balance in Accumulated Amortization--Equipment was $270,000 on January 1, 2014, and $258,000 on December 31. No other equipment was disposed of during 2014. Calculate the amount of amortization expense for 2014. King Co. has a calendar year-end and adjusting entries are only made at year-end.