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Alby Ltd Purchased a Machine for $32 000 on 1

Question 61

Multiple Choice

Alby Ltd purchased a machine for $32 000 on 1 January 2015.The machine was expected to have a useful life of four years.The financial year ends on 31 December.The straight-line method of depreciation is employed.
-Alby Ltd sold the machine on 1 January 2018 for $14 000.What was the gain or loss on sale?


A) Gain $14 000
B) Gain $6000
C) Loss $6000
D) None of the answers provided

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