Sebring Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $140,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Sebring Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.
A) $62,000.
B) $38,000.
C) $28,000.
D) $18,000.
E) $58,000.

Question

Sebring Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $140,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Sebring Company from its comparative balance sheet. Compute the cash received from the sale of the equipment. 
A) $62,000. 
B) $38,000. 
C) $28,000. 
D) $18,000. 
E) $58,000.

Quizplus · Accepted Answer

The Answer of Sebring Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $140,000 was sold for a $10,000 loss in Year 2. The following selected information is available for Sebring Company from its comparative balance sheet. Compute the cash received from the sale of the equipment. 
A) $62,000. 
B) $38,000. 
C) $28,000. 
D) $18,000. 
E) $58,000.

Sebring Company Reports Depreciation Expense of $40,000 for Year 2