Mercury Company reports depreciation expense of $40,000 for Year 2. Also, equipment costing $150,000 was sold for its book value in Year 2. There were no other equipment purchases or sales during the year. The following selected information is available for Mercury Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.At December 31Year 2Year 1Equipment$600,000 $750,000 Accumulated Depreciation-Equipment 428,000  500,000 

A. $36,000.
B. $38,000.
C. $32,000.
D. $40,000.
E. $68,000.


Answer: B

Business

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