Question

A copy machine cost when new and has accumulated depreciation of . Suppose discards this machine and receives nothing. What is the result of the disposal​ transaction?

Answer 1

$1,000 loss

Step-by-step explanation:

The numbers are missing here, so I looked for a similar question:

A copy machine cost $5,000 when new and has accumulated depreciation of $4,000.

The carrying value of the copy machine = purchase cost - accumulated depreciation = $5,000 - $4,000 = $1,000

if the copy machine is discarded and doesn't get any money for it, this will result in a loss equal to the carrying value = $1,000