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Business, 18.08.2020 22:01 abbyhammondd

Pensacola Inc. exchanged old equipment for new equipment in two exchange transactions. Each transaction has commercial substance. Old Equipment
Book Value Fair Value Cash Received
Equipment A $74,000 $81,300 11,300
Equipment B $61,600 $54,800 10,300

For Equipment B, Pensacola would record a gain/(loss) of:

a. $5,300
b. $(6,800)
c. $(7,800)
d. none of these answer choices are correct

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Pensacola Inc. exchanged old equipment for new equipment in two exchange transactions. Each transact...
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