Machines Unlimited Acquired Machine N (New) in Exchange for a Slightly

question 128

Essay

Machines Unlimited acquired Machine N (new) in exchange for a slightly used machine (Machine O) and received $3,000 cash (Machine O was in high demand). The machines were similar. Machine N had a market value (cash equivalent price) of $27,000. Machine O originally cost $45,000 and accumulated amortization at the date of exchange was $24,000.
Give the entry to record the exchange by Machines Unlimited.

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Definitions:

Default Position

The original or automatic setting or location determined by a system or application, used unless changed by the user.

Drag

The action of clicking and holding a mouse button on an object and moving it to a new location on a computer screen.

Move

The process of changing the position or location of a file, folder, or selected data to a different place within a system.

Press Tab

A command in computer applications that moves the cursor to the next tab stop or field, often used in form filling or to indent lines in a document.