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Unformatted text preview: transaction has commercial substance. 4/25/2011 Laser Equipment – new 505,000 Accumulated Depreciation 400,000 Loss on Disposal of Equipment 25,000 Laser Equipment – old 500,000 Cash 430,000 The $25,000 difference between the equipment’s fair value of $75,000 and its book value of $100,000 is recognized as a loss. The new equipment is valued at $505,000, the fair value of the old equipment of $75,000 plus the $430,000 cash given....
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This note was uploaded on 03/02/2012 for the course AICS 3115 taught by Professor Lynnalmond during the Spring '11 term at Virginia Tech.
- Spring '11