Question

X Co. Sold a Building which cost $400,000 for $450,000. The accumulated depreciation taken on the building at the time of disposal was $300,000. Complete the journal entry to record the gain or loss on the sale.

Answer 1

Answer:

Following are the solution to this question:

Step-by-step explanation:

Please find the complete question in the attached file.

Account Title                                              Dr. Amount                  Cr. Amount

Money                                                       $\ \ 4,50,000$  

Depreciation Accumulated                        $\ \ 3,00,000$  

Profit from its sale of development                                                $\ \ 3,50,000$

The Building                                                                                    $\ \ 4,00,000$  

(Being sold and registered as a building)