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Question 1: Lydia Company acquired a new equipment by trading used equipment with a dealer.
Old Equipment:
Original cost 1,200,000
Accumulated depreciation 1,050,000
Fair value 100,000
Trade-in value 300,000
New Equipment:
List price 1,600,000
Prepare the entry to record the trade in following generally accepted accounting principles
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Budgets are the driving force behind all organizations. Whether a manufacturing organization, or a service organization such as a medical or public accounting.
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