Great Coast Construction (GCC)exchanged a three-year-old excavator for a new excavator that had a list price of $63,000,which was its fair value.The old excavator originally cost $85,000 and has accumulated depreciation of $45,000 to the date of exchange.In addition to the $45,000 trade-in given for the old excavator,GCC paid $8,000 cash to complete the deal.

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The Answer of Great Coast Construction (GCC)exchanged a three-year-old excavator for a new excavator that had a list price of $63,000,which was its fair value.The old excavator originally cost $85,000 and has accumulated depreciation of $45,000 to the date of exchange.In addition to the $45,000 trade-in given for the old excavator,GCC paid $8,000 cash to complete the deal.

Great Coast Construction (GCC)exchanged a Three-Year-Old Excavator for a New