MC Exchanged One of Its Milling Machines, Which Had Cost

question 164

Essay

MC exchanged one of its milling machines, which had cost $60,000 and on which amortization of $50,000 had been recorded for a smaller milling machine with a firm cash asking price of $14,000. MC received a cash difference (boot) of $6,000.
(A) Give the entry on MC's books to record the exchange.
(B) Refer to the data given immediately above. Assume the same facts, except that MC paid cash boot of $6,000. Record the exchange on MC's books.

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Definitions:

Voice Mail Techniques

Strategies and methods used to effectively communicate and leave messages using a voicemail system.

Listener

In communication, the party receiving and interpreting the message from the sender.

Active Listening

The practice of fully concentrating on what is being said, understanding the message, responding appropriately, and remembering the information later.

Back-channeling

Verbal and non-verbal signals given by a listener to indicate engagement and understanding in a conversation.