QS 8-10 Disposal of assets LO P2 Garcia Co. owns equipment that cost $84,400, with accumulated depreciation of $44,600. Record the sale of the equipment under the following three separate cases assuming Garcia sells the equipment for (1) $52,700 cash, (2) $39,800 cash, and (3) $34,700 cash.

John and sue smith are a married couple who file a joint income tax return. they have two children, so they claim a total of 4 exemptions (based on calendar year 2015 tax law, a personal exemption of $4,000 per person or dependent can be deducted from total income). in addition, they have legitimate itemized deductions totaling $25,750. their total income from wages is $237,500. what is the couple’s taxable income? $195,750 $221,500 $229,500 $205,750