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Ecker Company purchased a new machine

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Ecker Company purchased a new machine 1. Durler Company traded machinery with a book value of $180,000 and a fair value of $300,000. It received in exchange from Hoyle Company a machine with a fair value of $270,000 and cash of $30,000. Hoyle’s machine has a book value of $285,000. What amount of gain should Durler recognize on the exchange? a. $ -0- b. $12,000 c. $30,000 d. $120,000 2. Hoyle Company traded machinery with a book value of $285,000 and a fair value of $270,000. It received in exchange from Durler Company a machine with a fair value of $300,000. Hoyle also paid cash of $30,000 in the exchange. Durler’s machine has a book value of $285,000. What amount of gain or loss should Hoyle recognize on the exchange? a. $30,000 gain b. $ -0- c. $1,500 loss d. $15,000 loss 3. Peterson Company purchased machinery for $160,000 on January 1, 2007. Straight-line depreciation has been recorded based on a $10,000 salvage value and a 5-year useful life. The machinery was sold on May 1, 2011 at a gain of $3,000. How much cash did Peterson receive from the sale of the machinery? a. $23,000 b. $27,000 c. $33,000 d. $43,000 4. Sutherland Company purchased machinery for $320,000 on January 1, 2007. Straight-line depreciation has been recorded based on a $20,000 salvage value and a 5-year useful life. The machinery was sold on May 1, 2011 at a gain of $6,000. How much cash did Sutherland receive from the sale of the machinery? a. $46,000. b. $54,000. c. $66,000. d. $86,000. 5. Ecker Company purchased a new machine on May 1, 2002 for $176,000. At the time of acquisition, the machine was estimated to have a useful life of ten years and an estimated salvage value of $8,000. The company has recorded monthly depreciation using the straight-line method. On March 1, 2011, the machine was sold for $24,000. What should be the loss recognized from the sale of the machine? a. $0. b. $3,600. c. $8,000. d. $11,600. 6. On January 1, 2002, Mill Corporation purchased for $152,000, equipment having a useful life of ten years and an estimated salvage value of $8,000. Mill has recorded monthly depreciation of the equipment on the straight-line method. On December 31, 2010, the equipment was sold for $28,000. As a result of this sale, Mill should recognize a gain of a. $0. b. $5,600. c. $13,600. d. $28,000. Business Management Assignment Help, Business Management Homework help, Business Management Study Help, Business Management Course Help

Ecker Company purchased a new machine

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