A truck that cost $18,000, was estimated to have a salvage value of $4,000, and was expected to last 10 years. At the end of 5 years of use (assume straight line depreciation), it was sold for $15,000, the journal entry to record the sale will involve a:
A. Debit to Loss on Sale for $4,000
B. Credit to Gain on Sale for $8,000
C. Credit to Truck for $11,000
D. Debit to Accumulated Depreciation - Truck for $7,000
Ans: D. Debit to Accumulated Depreciation - Truck for $7,000
Business
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