In 2022, Blanchard Corporation has plant equipment that originally cost $120,000 and has accumulated depreciation of $48,000. A new processing technique has rendered the equipment obsolete, so it is retired. Which of the following entries should Blanchard use to record the retirement of the equipment?DR Accumulated Depreciation – Equipment 48,000; DR Loss on Disposal of Plant Assets 72,000; CR Equipment 120,000
DR Plant Equipment 120,000; CR Accumulated Depreciation – Equipment 48,000; CR Loss on Disposal of Plant Assets 72,000
DR Loss on Disposal of Plant Assets 72,000; CR Equipment 72,000
DR Loss on Disposal of Plant Assets 72,000; CR Accumulated Depreciation – Equipment 72,000

The correct answer is Option A.

DR Accumulated Depreciation – Equipment 48,000; DR Loss on Disposal of Plant Assets 72,000; CR Equipment 120,000

Explanation:

Obsolescence of an asset occurs when the value of an asset has reduced drastically due to radical technological innovation or there is now a better technique used in the production process that renders the old equipment worthless or less productive.

Note that the proceed on the disposal is zero since the organization did not put up the asset for sale.

the answer is: c.that person might be arrested and deported

filling w-4 form incorrectly usually would rise suspicions from government's auditors. when they notice such mistakes, they would send their teams to investigate the situation further.

if those investigation teams believe that the incorrectness is done on purpose (with malicious intent), that person can be arrested or deported

answer; interviews;