A Gain Is Recognized on the Disposal of Plant Assets

question 172

Multiple Choice

A gain is recognized on the disposal of plant assets when the sale price is

• A)greater than the book value and less than the residual value.
• B)greater than the book value.
• C)less than both the book value and the residual value.
• D)less than the book value.

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Definitions:

Balance Of Payments

An accounting record of all monetary transactions between a country and the rest of the world over a specific time period.

Hypothetical Data

Information or numbers that are assumed or simulated for the purpose of analysis or discussion.

Remittances

Money sent by individuals working abroad to their family or others in their home country.

Dollar Price

The cost or valuation of a good, service, or asset denominated in U.S. dollars.