Homework Answers
Accumulated depreciation till July 1, 2019 = 3.5 years * $50000 = $175000. Basis on July 1, 2019 = $325000
a)
Loss on equipment Debit 325000
Equipment account Credit 325000
b)
Bank account Debit 350000
Equipment account Credit 325000
Gain on sale of equipment Credit 25000
c)
Bank account Debit 275000
Loss on sale of equipment Debit 50000
Equipment account Credit 325000
d)
New equipment account Debit 400000
Gain on exchange of old equipment Credit 75000
Equipment account Credit 325000
Add Answer to:
ABC Corporation has a piece of equipment that cost $500,000 and was placed in service on...
Wolverines Corporation purchased a large piece of equipment for $500,000 and placed in in service on...
Wolverines Corporation purchased a large piece of equipment for $500,000 and placed in in service on January 1, 2018. The machinery has a useful life of 5 years or 37,500 hours of operation. Its estimated residual value is $50,000 Please give me the following (while clearly showing your calculations): 1. Journal entry for Depreciation Expense in 2020 using the Straight-Line Method 2. Journal entry for Depreciation Expense in 2020 using the Production method with depreciation being based on estimated machine...
Mackay, Inc., had a piece of equipment that cost $42,000 and had accumulated depreciation of $25,000 Read the requireme...
Mackay, Inc., had a piece of equipment that cost $42,000 and had accumulated depreciation of $25,000 Read the requirement a. Mackay discarded the equipment receiving $0. (Record debits first, then credits. Exclude explanations from all journal entries.) ectanqular Snip Journal Entry Credit Date Accounts Debit а. b. Mackay sold the equipment for $18,500 cash. Journal Entry Date Accounts Debit Credit b. c. Mackay traded the equipment in on a new piece of equipment costing $45,000. Mackay was granted a $22,000...
ABC corp has decided to evaluate a piece of equipment for impairment on Jan. 1, 2018...
ABC corp has decided to evaluate a piece of equipment for impairment on Jan. 1, 2018 (fiscal year ending Dec. 31). ABC corp purchased the equipment on Jan. 1, 2016 for $260,000 and has used straight line depreciation method. The equipment has a residual value of $20,000 and a six year useful life. The estimated undercounted future cash flows from the machine are $150,000. ABC corp uses a 10% discount rate. The estimated fair value is $132,000. Present the steps...
ABC company has a piece of equipment that was purchased for $35,000 and has an estimated...
ABC company has a piece of equipment that was purchased for $35,000 and has an estimated useful life of 7 years and a residual value of $3,000. It currently has a resale value of approximately $25,000. To date, $15,000 of depreciation has been recorded on the asset. What is the book value of the asset?
4. Tarrier, Inc., has the following PPE account: Land, Building, and Equipment, with a separate accumulated...
4. Tarrier, Inc., has the following PPE account: Land, Building, and Equipment, with a separate accumulated depreciation account for each of these except land. Tarrier completed the following transactions: (12marks) Traded in equipment with accumulated depreciation of $65,000(cost of$ 139,000) for similar new equipment with a cash cost of $ 179,000. Received a trade-in allowance of $73,000 on the old equipment and paid $106,000 in cash Jan 2 Sold a building that had a cost of $635,000 and had accumulated...
Requirement 1. Record the disposition of the equipment assuming the following independent situations:...
Requirement 1. Record the disposition of the equipment assuming the following independent situations: a. Dominico discarded the equipment, receiving $0. b. Dominico sold the equipment for $9,000 cash. C. Dominico traded the equipment in on a new piece of equipment costing $50,000. Dominico was granted a(n) $10,500 trade-in allowance for the old equipment and paid the difference in cash. Dominico traded the equipment in on a new piece of equipment costing $34,000. Dominico was granted a $2,500 trade-in allowance for...
pina 1. ABC Lad had a piece of equipment with a cost of $ 150000 and...
pina 1. ABC Lad had a piece of equipment with a cost of $ 150000 and en depreciation of $ 50000. The equipment has a useful life of 5 years da state of $15000. The equipment was sold on July 1 for $ 160000. De tre pain or loss on disposal. If the amount is a gain, enter the answer as a mout below ſile 20000). I the amount is a loss, enter the answer as must below le-20000).
ABC has the following accounts in the Property, Plant and Equipment (PPE) section of its balance sheet: Land, Buildings,...
ABC has the following accounts in the Property, Plant and Equipment (PPE) section of its balance sheet: Land, Buildings, and Equipment. Each non-current asset account has a separate accumulated depreciation contra-account except for Land. ABC uses the historical cost principle to value its fixed assess after acquisition. ABC completed the following transactions in fiscal year 2017. ABC has a fiscal year end of 31st December. 3rd January 2017: ABC exchanged old equipment with accumulated depreciation of €130,000 (cost of acquisition...
ABC has the following accounts in the Property, Plant and Equipment (PPE) section of its balance sheet: Land, Buildings,...
ABC has the following accounts in the Property, Plant and Equipment (PPE) section of its balance sheet: Land, Buildings, and Equipment. Each non-current asset account has a separate accumulated depreciation contra-account except for Land. ABC uses the historical cost principle to value its fixed assess after acquisition. ABC completed the following transactions in fiscal year 2017. ABC has a fiscal year end of 31st December. 3rd January 2017: ABC exchanged old equipment with accumulated depreciation of €130,000 (cost of acquisition...
4) Equipment acquired at a cost of $126,000 has a book value of $42,000. Journalize the...
4)
Equipment acquired at a cost of $126,000 has a book value of $42,000. Journalize the disposal of the equipment under the following independent assumptions. (a) The equipment had no market value and was discarded. (b) The equipment is sold for $54,000. (c) The equipment is sold for $24,000. (d) The equipment is traded-in for a similar asset. The list price of the new equipment is $63,000. The buyer gave no cash in the exchange. The transaction lacks commercial substance.
Wolverines Corporation purchased a large piece of equipment for $500,000 and placed in in service on January 1, 2018. The machinery has a useful life of 5 years or 37,500 hours of operation. Its estimated residual value is $50,000 Please give me the following (while clearly showing your calculations): 1. Journal entry for Depreciation Expense in 2020 using the Straight-Line Method 2. Journal entry for Depreciation Expense in 2020 using the Production method with depreciation being based on estimated machine...
Mackay, Inc., had a piece of equipment that cost $42,000 and had accumulated depreciation of $25,000 Read the requirement a. Mackay discarded the equipment receiving $0. (Record debits first, then credits. Exclude explanations from all journal entries.) ectanqular Snip Journal Entry Credit Date Accounts Debit а. b. Mackay sold the equipment for $18,500 cash. Journal Entry Date Accounts Debit Credit b. c. Mackay traded the equipment in on a new piece of equipment costing $45,000. Mackay was granted a $22,000...
4. Tarrier, Inc., has the following PPE account: Land, Building, and Equipment, with a separate accumulated depreciation account for each of these except land. Tarrier completed the following transactions: (12marks) Traded in equipment with accumulated depreciation of $65,000(cost of$ 139,000) for similar new equipment with a cash cost of $ 179,000. Received a trade-in allowance of $73,000 on the old equipment and paid $106,000 in cash Jan 2 Sold a building that had a cost of $635,000 and had accumulated...
Requirement 1. Record the disposition of the equipment assuming the following independent situations: a. Dominico discarded the equipment, receiving $0. b. Dominico sold the equipment for $9,000 cash. C. Dominico traded the equipment in on a new piece of equipment costing $50,000. Dominico was granted a(n) $10,500 trade-in allowance for the old equipment and paid the difference in cash. Dominico traded the equipment in on a new piece of equipment costing $34,000. Dominico was granted a $2,500 trade-in allowance for...
pina 1. ABC Lad had a piece of equipment with a cost of $ 150000 and en depreciation of $ 50000. The equipment has a useful life of 5 years da state of $15000. The equipment was sold on July 1 for $ 160000. De tre pain or loss on disposal. If the amount is a gain, enter the answer as a mout below ſile 20000). I the amount is a loss, enter the answer as must below le-20000).
4)
Equipment acquired at a cost of $126,000 has a book value of $42,000. Journalize the disposal of the equipment under the following independent assumptions. (a) The equipment had no market value and was discarded. (b) The equipment is sold for $54,000. (c) The equipment is sold for $24,000. (d) The equipment is traded-in for a similar asset. The list price of the new equipment is $63,000. The buyer gave no cash in the exchange. The transaction lacks commercial substance.
Most questions answered within 3 hours.
-
Why has California been the favorite destination of large number
of secondary migrants?
asked 29 minutes ago -
Do not neglect the old for the new. The existing business must
not lose priority simply...
asked 3 hours ago -
Kylie is a single mom with two dependent children,
Tanner, age 7 and Olivia, age 11....
asked 4 hours ago -
Phosphorous + bromine = phosphorous tribromide. If 35.0 g of
bromine are reacted and 27.9 grams...
asked 6 hours ago -
Derive the long wavelength limit of the Planck energy density
distribution
asked 6 hours ago -
Calculate the pH of each of the following solutions.
0.50 M HBr
3.1×10−4 M KOH
4.2×10−5...
asked 9 hours ago -
For the year ended December 31, Depot Max’s cost of merchandise
sold was $85,600. Inventory at the...
asked 9 hours ago -
Week 10 - Professional Memo Assignment
Professional Memo Assignment
Your mission for this week, should you...
asked 9 hours ago -
Write a Python program that stores the data for each
player on the team, and it...
asked 9 hours ago -
In
the last 3 months, mike never knows when he is going to get his
allowance...
asked 10 hours ago -
Is Ca(OH)2 a Bronsted base, Lewis base, or both? Why?
asked 10 hours ago -
1A- Why don’t voters complain about U.S. tariffs on imported
sugar?
Because sugar is only a...
asked 10 hours ago