Annie Company Purchased a Computer for $5,000

question 11

Essay

Annie Company purchased a computer for $5,000.During 2018 and 2019,the company recorded total depreciation of $4,000 on the computer.On January 1,2020,the company exchanges the computer for a new one,paying $4,000 cash.The market value of the new computer is $6,000.Prepare the journal entry to record this transaction.Assume the exchange has commercial substance.Omit explanation.

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Definitions:

Legal

Pertaining to the system of laws and regulations that dictate behavior and actions within a society.

Work Records

Documentation detailing an individual's employment history, achievements, and responsibilities.

Listen

The act of paying attention to sounds with the purpose of hearing and understanding them.

Objective

(1) Information or symptoms that can be observed such as vital signs, exam findings, laboratory results, special procedure findings, X-ray reports, diagnoses, prescribed treatments, progress notes, and diagnostic tests. (2) On a microscope, a lens or series of lenses.