Answer:
cash 1,500 debit
accumulated depreciation- VAN 18,000 debit
loss at disposal 500 debit
VAN 20,000 credit
Explanation:
The journal entry must remove the van and their associate account from the company's books.
Therefore, will write-off van account and the accumulated depreciation.
Patel is receiving cash by the amount of 1,500 dollars. It will post the receipts as a debit to this account.
The difference will be considered gain/loss at disposal.
In this case, as the amount received 1,500
is lower than book value: 20,000 - 18,000 = 2,000
it will be a loss at disposal
Answer: Business plan.
Explanation:
A business plan is a goal/objective set by a business that it intends to use to successfully enter into a market. The business plan provides a guide on how daily operations in a business can be handled to best achieve it's objectives.