The shelves originally cost 6400 and had been depreciated


As part of a major renovation at the beginning of the year, Atiase Pharmaceuticals, Inc. sold shelving units (recorded as Equipment) that were 10 years old for $ 800 cash. The shelves originally cost $ 6,400 and had been depreciated on a straight- line basis over an estimated useful life of 10 years with an estimated residual value of $ 400. Assuming that depreciation has been recorded to the date of sale, show the effect of the disposal on the accounting equation. Prepare the journal entry to record the sale of the shelving units.

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Accounting Basics: The shelves originally cost 6400 and had been depreciated
Reference No:- TGS01155784

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