Question

Chegg "Mayer Instrumentation sold a depreciable asset for cash of $430,000. The original cost of the asset was $1,460,000. Mayer recognized a gain of $49,000 on the sale. What was the amount of accumulated depreciation on the asset at the time of its sale?"

Answer 1

Answer:

$1,079,000

Explanation:

Calculation for Chegg "Mayer Instrumentation amount of accumulated depreciation on the asset at the time of its sale

Using this formula

Original cost of asset -Depreciable asset + Gain Recognized =Amount of accumulated depreciation

Where:

Original cost of asset =$1,460,000

Depreciable asset =$430,000

Gain Recognized=$49,000

Hence:

$1,460,000-$430,000

=$1,030,000

$1,030,000+$49,000

=$1,079,000

Therefore the amount of accumulated depreciation is $1,079,000