Was any gains or losses made on the transaction

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Africa Manufacturing Co. purchased a new machine on January 2, 2017. Data pertaining to this machine are:

Cost of machine of $330,000;

Residual value of $30,000;

life of 6 years.

Problem 1: On July 3, 2019, Africa Manufacturing Co. sold the machine for $285,000. Was there any gains or losses made on this transaction? Indicate the impact of the sale on the income statement, balance sheet, & statement of cash flow. Assume the use of straight-line method.

Reference no: EM132759902

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