A Truck Costing $56,000 Has Accumulated Depreciation of $50,000

Multiple Choice

A truck costing $56,000 has accumulated depreciation of $50,000.The truck is scrapped for $500.The journal entry to record this transaction is to:

A) debit Cash for $500,debit Truck for $50,000,debit Loss on Disposal for $5,500 and credit Accumulated Depreciation - Truck for $56,000.
B) debit Cash for $500,debit Accumulated Depreciation - Truck for $50,000,debit Loss on Disposal for $5,500 and credit Truck for $56,000.
C) debit Accumulated Depreciation - Truck for $50,000,debit Loss on Disposal $6,000,and credit Truck for $56,000.
D) debit Cash for $500,debit Loss on Disposal for $55,500 and credit Truck for $56,000.