The Pizza Store trades in a delivery car for a newer model.The old delivery car has a cost of $9,000 and accumulated depreciation of $8,000.The Pizza Store pays cash of $10,000.The fair value of the newer car is $16,000.What is the gain or loss for the Pizza Store on the exchange of vehicles?
A) $1,000 Loss
B) $1,000 Gain
C) $5,000 Gain
D) $6,000 Gain
Correct Answer:
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