Which of the Following Is a Correct Statement Regarding the Disposal

question 58

Multiple Choice

Which of the following is a correct statement regarding the disposal of an asset for no proceeds?

• A) The cost of the asset, but not its accumulated depreciation, must be removed from the books.
• B) If the asset is not fully depreciated, a gain on the disposal can occur.
• C) If the asset is fully depreciated, the journal entry to record the disposal will decrease net assets.
• D) If the asset is fully depreciated, there will be no gain or loss on the disposal.

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Definitions:

Beijing

The capital city of China, known for its rich history and significant cultural landmarks like the Forbidden City and the Great Wall.

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A city in the United States known for its significant contributions to architecture, music, and culture.

Theory Of Mind

A system of beliefs about the way one’s own mind and the minds of others work, and of how individuals are affected by their beliefs and feelings.

Beliefs

The convictions or acceptances that something is true or exists, often without empirical evidence.