The Bacon Company Acquired New Machinery with a Price of $15,200

question 46

Multiple Choice

The Bacon Company acquired new machinery with a price of $15,200 by trading in similar old machinery and paying $12,700. The old machinery originally cost $9,000 and had accumulated depreciation of $5,000. In recording this transaction, Bacon Company should record

• A) the new machinery at $16,700
• B) the new machinery at $12,700
• C) a gain of $1,500
• D) a loss of $1,500

---

Definitions:

Bourbon Dynasty

A European royal house of French origin, known for its significant role in the history of France and other countries.

Second Treaty of Paris

Signed in 1815, this treaty formally ended the Napoleonic Wars, imposing harsher conditions on France than the 1814 treaty, including territorial losses and indemnities.

700 Million Francs

A specified sum of French currency, potentially referring to historical budgets, costs, or reparations, significant for its magnitude.