Laguna Enterprises Is Trading in Its Old Schooner for a New

question 42

Multiple Choice

Laguna Enterprises is trading in its old schooner for a new model.The old schooner is on the books at a cost of $535,000 with accumulated depreciation of $384,300.The new schooner has a list price of $765,000 but the manufacturer has agreed to reduce this by $125,000 in return for Laguna's old schooner.The new schooner should be recorded on the books at a cost of:

• A)$640,000
• B)$739,300
• C)$765,000
• D)$790,700

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Definitions:

Loss Of Appetite

A decrease in the desire to eat, which can be a symptom of various underlying conditions, affecting nutritional intake and overall health.

Affective Disorder

A category of mental health disorders that primarily affect mood and emotions, such as depression and bipolar disorder.

Bipolar

A mental disorder characterized by periods of elevated mood and periods of depression.

Depression

is a common mental health disorder characterized by persistent sadness, loss of interest, and a lack of energy or motivation.