Problem
Marriott International is a worldwide operator and franchiser of hotels and related lodging facilities totaling nearly $1.5 billion in net property and equipment. Assume that Marriott replaced furniture that had been used in the business for five years. The records of the company reflected the following regarding the sale of the existing furniture:
Furniture (cost) $ 8,000,000
Accumulated depreciation 7,700,000
Required:
1. Prepare the journal entry for the disposal of the furniture, assuming that it was sold for:
a. $300,000 cash
b. $900,000 cash
c. $100,000 cash
-Record the disposal of the furniture, assuming the furniture sold for $300,000 cash.
-Record the disposal of the furniture, assuming the furniture sold for $900,000 cash.
-Record the disposal of the furniture, assuming the furniture sold for $100,000 cash.