On April 1 of the Current Year,a Company Disposed of an Automobile

question 36

Essay

On April 1 of the current year,a company disposed of an automobile that had cost $20,000.The auto had a salvage value of $2,000 and a useful life of five years.The accounting records showed accumulated depreciation for this automobile of $8,100 as of April 1 of the current year.The asset was discarded after an accident occurred and $10,500 cash was received from an insurance claim.
Prepare the journal entry to record the disposal of the automobile.

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Definitions:

European Officers

Military leaders and officials from European countries, often involved in historical military campaigns, colonies, or administrative roles in various parts of the world.

Underdogs

Individuals or groups who are expected to lose a conflict or competition due to disadvantageous positions or perceived inferiority.

Ratification

The official way to confirm something, usually by vote. It is often used in the context of approving treaties, agreements, and constitutional amendments.

Drafters

Professionals who prepare technical drawings and plans under the guidance of architects and engineers.