ACC 304 Course Great Wisdom / tutorialrank.com ACC 304 Course Great Wisdom / tutorialrank.com | Page 128

d. either the fair value of the asset given up or the asset
received, whichever one results in the largest gain (smallest
loss) to the company.

P46. Ringler Corporation exchanges one plant asset for a
similar plant asset and gives cash in the exchange. The
exchange is not expected to cause a material change in the
future cash flows for either entity. If a gain on the disposal of
the old asset is indicated, the gain will

a. be reported in the Other Revenues and Gains section of the
income statement.