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Business, 21.04.2020 17:43 ashhleyjohnson
Buffalo Company purchased a heavy-duty truck on July 1, 2014, for $30,360. It was estimated that it would have a useful life of 10 years and then would have a trade-in value of $6,480. The company uses the straight-line method. It was traded on August 1, 2018, for a similar truck costing $42,189; $16,699 was allowed as trade-in value (also fair value) on the old truck and $25,490 was paid in cash. A comparison of expected cash flows for the trucks indicates the exchange lacks commercial substance. What is the entry to record the trade-in
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Buffalo Company purchased a heavy-duty truck on July 1, 2014, for $30,360. It was estimated that it...
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