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Question - Favre Company reports depreciation expense of $55,000 for Year 2. Also, equipment costing $185,000 was sold for a $11,500 loss in Year 2. The following selected information is available for Favre Company from its comparative balance sheet.
At December 31
Year 2
Year 1
Equipment
$685,000
$870,000
Accumulated Depreciation-Equipment
488,000
575,000
Required - Compute the cash received from the sale of the equipment.
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