On the First Day of the Fiscal Year, a New

question 89

Essay

On the first day of the fiscal year, a new walk-in cooler with a list price of $52,000 was acquired in exchange for an old cooler and $42,000 cash. The old cooler had a cost $24,000 and accumulated depreciation of $17,000.
a)Determine the gain to be recorded on the exchange.
b)Joumalize the entry to recort the exchange.

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Definitions:

Vocational Education

A program of study that prepares individuals for specific trades, crafts, and careers at various levels from a trade, a craft, technicians, or a professional position in engineering, accountancy, nursing, medicine, and other healing arts, architecture, pharmacy, law etc.

Tuskegee Institute

A historically black college in Alabama established by Booker T. Washington to provide African Americans with educational and vocational training.

Vocational Education

Educational training that provides practical experience and skills for a specific occupation or trade.