Mike corporation exchanged land and cash of 6500 for


Question - Mike Corporation exchanged land and cash of $6,500 for equipment. The land had a book value of $45,000 and a fair value of $34,000. Assume the exchange has commercial substance.

Required: Prepare the journal entry to record the exchange.

Solution Preview :

Prepared by a verified Expert
Accounting Basics: Mike corporation exchanged land and cash of 6500 for
Reference No:- TGS02860668

Now Priced at $20 (50% Discount)

Recommended (96%)

Rated (4.8/5)