Indicate Whether Each of the Following Transactions Would Result in a Gain,a

question 107

Short Answer

Indicate whether each of the following transactions would result in a gain,a loss,or neither one.
A = Gain
B = Loss
C = Neither a gain nor a loss
______ 2.Bought a machine 9 years ago for $200,000 and over the years recorded $175,000 of depreciation.Sold the machine for $35,000.
______ 4.Recorded $70,000 of depreciation on an asset that originally cost $100,000 and then sold it for a $40,000 note receivable.
______ 5.Bought a machine 5 years ago for $200,000 and over the years recorded $180,000 of depreciation.Sold the machine for $17,000.

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Definitions:

Economic Thought

The study of how societies use scarce resources to produce valuable commodities and distribute them among different people. It encompasses the evolution of economic ideas and theories over time.

Economic Instability

A condition characterized by significant fluctuations in economic activities such as employment, prices, or growth, often leading to uncertainty and adverse effects on the economy.

Monetarists

Economists who believe that the money supply is the main determinant of economic growth and control over inflation.

Quantity Theory

A theory in economics that describes the relationship between the quantity of money in an economy and the level of prices of goods and services.