Immediately prior to the admission of Abbott, the Smith-Jones Partnership determines that equipment that cost $20,000, with accumulated depreciation of $5,000, has a current market value of $12,000. Assuming an asset revaluation account is used, the journal entry to revalue the equipment will include a.a credit to Accumulated Depreciation of $3,000 b.a debit to Asset Revaluation of $3,000 c.a debit to Asset Revaluation of $12,000 d.a credit to Equipment of $3,000

Immediately prior to the admission of Abbott, the Smith-Jones Partnership determines that equipment that cost $20,000, with accumulated depreciation of $5,000, has a current market value of $12,000. Assuming an asset revaluation account is used, the journal entry to revalue the equipment will include a.a credit to Accumulated Depreciation of $3,000 b.a debit to Asset Revaluation of $3,000 c.a debit to Asset Revaluation of $12,000 d.a credit to Equipment of $3,000

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter2: Income Tax Concepts

Section: Chapter Questions

Problem 80DC

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