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

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Definitions:

Myoclonic Jerks

Involuntary, quick muscle spasms often occurring as people are falling asleep.

Theta Waves

Brainwave patterns associated with states of drowsiness, light sleep, or deep meditation, typically in the frequency range of 4-8 Hz.

Delta Waves

Low-frequency brain waves that are present during deep sleep and are associated with restorative sleep functions.

Insomnia

A sleep disorder characterized by difficulty falling asleep, staying asleep, or experiencing non-restorative sleep.