Which of the following journals will record this transaction?

ST has sold its main office property, which had a carrying value of $360,000, to AB, a property management entity.

The property was sold for $400,000 which is equal to its fair value and was immediately leased back under an operating lease agreement.

Which of the following journals will record this transaction?

A . Option A
B . Option B
C . Option C
D . Option D

View Answer

Answer: A