Machinery acquired at a cost of $100,000 and on which there is accumulted depreciation of $60,000(including depreciation for the current year to date)is exchanged for similar machinery. For financial reporting purposes, present entries to record the dispositions of the old machinery and the acqusition of new machinery under each of the following assumptions
1. price of new, $120,000; trade in allowance on old, $4000; balance paid in cash
2. price of new $120,000; trade in allowance on old, $44000; balance paid in cash
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