If a Fixed Asset with an Original Cost of $18,000

question 80

Multiple Choice

If a fixed asset with an original cost of $18,000 and accumulated depreciation of $2,000 is sold for $15,000,the company must

• A)recognize a loss on the income statement under other expenses.
• B)recognize a loss on the income statement under operating expenses.
• C)recognize a gain on the income statement under other revenues.
• D)Gains and losses are not to be recognized upon the sell of fixed assets.

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