Which of the following statements is not true when a

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122.Which of the following statements isnottrue when a fully amortized capital assetis retired?a.The capital asset's book value is equal to its estimated residual value.b.The accumulated amortization account is debited.c.The asset account is credited.d.The capital asset's original cost equals its book value.
123.If a capital asset is retired before it is fully amortized, and no residual or scrapvalue is received,
124.The net book value of an asset will equal its fair market value at the date of saleif
125.A truck costing $35,000 was destroyed when its engine caught fire. At the date ofthe fire, the accumulated amortization on the truck was $16,000. An insurancecheque for $40,000 was received based on the replacement cost of the truck.
The entry to record the insurance proceeds and the disposition of the truck willinclude a
126.On July 1, 2001 Lars Kennels sells equipment for $22,000. The equipmentoriginally cost $60,000, had an estimated 5-year life and an expected residualvalue of $10,000. The accumulated amortization account had a balance of$35,000 on January 1, 2001, using the straight-line method. The gain or loss ondisposal isa.$3,000 gain.b.$2,000 loss.c.$3,000 loss.d.$2,000 gain.
127.A loss on disposal of a capital asset is reported in the financial statements
128.Gains and losses on disposal of capital assets occur
129.Two commonly used ratios to assess the profitability of total assets are

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