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derekkar
Dec 17, 2010, 12:52 PM
Fred's, Inc. purchased machinery at a cost of $20,000 on January 1, 2009. The expected useful life is 5 years and the asset is expected to have salvage value of $1,000. Fred's depreciates its assets via the double-declining balance method.

What is the firm's gain or loss if the machinery is sold for $10,000 on December 31, 2010?

Just Looking
Dec 17, 2010, 01:30 PM
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