If equipment that cost $49,000 is sold in 2017 for $42,000, what amount of gain or loss will the company recognize for the sale? |
GAIN OR LOSS ON SALE OF EQUIPMENT
If equipment that cost $49,000 is sold in 2017 for $42,000, what amount of gain or...
Mondale Winery depreciates its equipment using the group method. The cost of equipment purchased in 2016 totaled $495,000. The estimated residual value of the equipment was $47,000 and the group depreciation rate was determined to be 15%. Annual depreciation 74,250 If equipment that cost $49,000 is sold in 2017 for $42,000, what amount of gain or loss will the company recognize for the sale? Gain $ 350 *Red text indicates no response was expected in a cell or a formula-based...
Mondale Winery depreciates its equipment using the group method. The cost of equipment purchased in 2016 totaled $495,000. The estimated residual value of the equipment was $47,000 and the group depreciation rate was determined to be 15%. What is the annual depreciation for the group? Answer is complete but not entirely correct. Annual depreciation s 67,200 If equipment that cost $49,000 is sold in 2017 for $42,000, what amount of gain or loss will the company recognize for the sale?...
On March 31, 2021, Canseco Plumbing Fixtures purchased equipment for $52,000. Residual value at the end of an estimated four-year service life is expected to be $4,000. The company expects the equipment to operate for 12,000 hours. The equipment operated for 3,300 and 4,100 hours in 2021 and 2022, respectively. Required: a. Calculate depreciation expense for 2021 and 2022 using straight-line method. b. Calculate depreciation expense for 2021 and 2022 using double-declining-balance method. c. Calculate depreciation expense for 2021 and...
Mercury Inc. purchased equipment in 2019 at a cost of $183,000. The equipment was expected to produce 340,000 units over the next five years and have a residual value of $47,000. The equipment was sold for $97,600 part way through 2021. Actual production in each year was: 2019 = 49,000 units; 2020 = 78,000 units; 2021 = 39,000 units. Mercury uses units-of-production depreciation, and all depreciation has been recorded through the disposal date. Required: 1. Calculate the gain or loss...
Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $36,250. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of ten years and an estimated residual value of $700. a. What was the depreciation for the first year? b. Assuming the equipment was sold at the end of year 2 for $8,380, determine the gain or loss on the sale of the equipment. Loss c. Journalize the entry...
Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $35,750. The equipment was depreciated using the double-declining- balance method based on an estimated useful life of ten years and an estimated residual value of $690. a. What was the depreciation for the first year? $ b. Assuming the equipment was sold at the end of year 2 for $8,800, determine the gain or loss on the sale of the equipment. Loss 2 Feedback...
Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $575,000. The equipment was depreciated using the straight-line method based on an estimated useful life of 9 years and an estimated residual value of $42,260. a. What was the depreciation for the first year? Round your answer to the nearest cent. $ b. Using the rounded amount from Part a in your computation, determine the gain(loss) on the sale of the equipment, assuming it...
Equipment was acquired at the beginning of the year at a cost of $37,000. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of ten years and an estimated residual value of $720. a. What was the depreciation for the first year? b. Assuming the equipment was sold at the end of year 2 for $8,550, determine the gain or loss on the sale of the equipment. c. Journalize the entry to record the sale....
On September 30, 2019, Sarpino's Pizzeria sold a piece of equipment for $42,000 cash. The equipment onginally cow $180,000 and had Accumulated Depreciation of $442.000. The journal entry to record this sale includes as a. Credit to 'Gain on Sale of Equipment' for $4,000. b. Credit to 'Gain on Sale of Equipment' for $42,000. c. Debit to Gain on Sale of Equipment' for $4,000. d. Debit to 'Loss on Sale of Equipment' for $38,000. 10. Glamour, Inc. purchases a new...
On September 30, 2019, Sarpino's Pizzeria sold a piece of equipment for $42,000 cash. The equipment onginally cow $180,000 and had Accumulated Depreciation of $442.000. The journal entry to record this sale includes as a. Credit to 'Gain on Sale of Equipment' for $4,000. b. Credit to 'Gain on Sale of Equipment' for $42,000. c. Debit to Gain on Sale of Equipment' for $4,000. d. Debit to 'Loss on Sale of Equipment' for $38,000. 10. Glamour, Inc. purchases a new...