A Photocopy Machine Costs $95,000 When New and Has Accumulated

question 43

Multiple Choice

A photocopy machine costs $95,000 when new and has accumulated depreciation of $88,000. Suppose the company junks this machine and receives nothing. What is the result of the disposal transaction?

• A)loss of $ 7,000
• B)no gain or no loss
• C)loss of $ 11,000
• D)gain of $ 7,000

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Definitions:

Transtheoretical Model

A theory of behavior change that outlines five stages people go through to change their behavior: precontemplation, contemplation, preparation, action, and maintenance.

Maintenance Stage

A phase in the behavior change process where individuals work to sustain their newly adopted healthy behaviors over the long term.

Transtheoretical Model

A theory of behavioral change that outlines six stages individuals go through when changing a habit or behavior.

Relapse

A return to a previous state of disease or negative behavior after a period of improvement or recovery.