gain or loss on the disposal of assets is determined by comparing the disposed asset's book value to the value of any assets received true or faslse

Question

Business

Cohen Dawson

8 March, 06:26

gain or loss on the disposal of assets is determined by comparing the disposed asset's book value to the value of any assets received true or faslse

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Answers (1)

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Alia Morgan · Answer 1

The statement is: True.

Explanation:

The disposal of assets implies removing assets from a company's accounting books. By doing so, the company must record the gain or loss over the asset when the disposal happens. That is determined by comparing the book value of the disposed asset with the market value of the acquired assets - if any.