Sign In Sign Up Ask an AI advisor
hipstergirl225
hipstergirl225
03.12.2021 • 
Business

Print Item Romney Company exchanged one business automobile for a replacement automobile. The old automobile had an original cost of $40,000, a book value of $16,000, and a fair value of $24,000 when exchanged. In addition, Romney paid $9,000 cash to acquire the replacement automobile. The list price of the replacement automobile was $45,000. The replacement will help generate significantly greater cash flows in the business. At what amount should the replacement automobile be recorded for financial accounting purposes

Solved
Show answers

Ask an AI advisor a question

I want advice