Net income for the year was $200,000.
Depreciation expense on plant and equipment was $50,000.
Plant and equipment with an original cost of $150,000 were sold for $64,000 (you will need to determine the book value of the assets sold).
Amortization expense on patents was $8,000.
Both new plant and equipment and patents were purchased for cash during the year.
Plant and equipment (2007) = 750,000 (2006) 500,000
Accumulated depreciation (2007) 160,000 (2006) 200,000
Patents (2007) 92,000 (2006) 80,000
Retained Earnings (2007) 825,000 (2006) 675,000
I need to find:
1. the gain/ loss on sale of plant and equipment
2. Acquisition of plant and equipment
Thank you very much
2007-12-09
08:48:53
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1 answers
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Diamonds
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