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On January 2, Bering Company disposes of a machine costing $32,400 with accumulated depreciation of $17,454. Prepare the entries
to record the disposal under each separate situation.
1. The machine is sold for $12,535 cash.
2. The machine is traded in for a new machine having a $48,900 cash price. A $15,428 trade-in allowance is received, and the
balance is paid in cash. Assume the asset exchange has commercial substance.
3. The machine is traded in for a new machine having a $48,900 cash price. A $11,571 trade-in allowance is received, and the
balance is paid in cash. Assume the asset exchange has commercial substance.
Complete this question by entering your answers in the tabs below.
Hint
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Required 2
Required 3
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The machine is sold for $12,535 cash.
References
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Journal entry worksheet
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1
Record the sale of the machine for $12,535 cash.
Note: Enter debits before credits.
Deio
January 02
Record entry
Generel Journel
Debit
Credit
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Required 1
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