A Gain Is Recorded on the Sale of Fixed Assets

question 53

Multiple Choice

A gain is recorded on the sale of fixed assets when:

• A) the asset is sold for a price less than its book value.
• B) the asset is sold for a price more than its book value.
• C) accumulated depreciation on asset is less than its selling price.
• D) accumulated depreciation on asset is more than its selling price.

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Definitions:

Specialization

The process of focusing efforts and resources on a narrowly defined area of expertise or activity, often resulting in increased efficiency and quality.

Market Concentration

The degree to which a small number of firms control the majority of market share in an industry.

Focused Marketing

A strategic approach where marketing efforts are intensely directed at a specific market segment or demographic, tailoring products and advertising to appeal to that group.

Institutional Markets

Markets where transactions occur between institutions such as businesses, governments, and non-profits, rather than between a business and individual consumer.