Homework Answers
(a)
Under straight line method of depreciation,
Depreciation per annum = (initial cost - salvage value)/useful life
= ($75720 - $7920)/6
= $11300
(b)
gain on sale of equipment = sales value - book value
= $57370 - $53120
= $4250
where,
book value = historical cost - accumulated depreciation
= $75720 - ($11300 x 2)
= $53120
(c)
journal entry:
|
Cash to equipment to gain on sale of equipment |
$57370 . . |
. $53120 $4250 |
Add Answer to:
Instructions Chart of Accounts Analysis General Joumal Instructions Equipment was acquired at the beginning of the...
Instructions Analysis Equipment was acquired at the beginning of the year at a cost of $74,660....
Instructions Analysis Equipment was acquired at the beginning of the year at a cost of $74,660. The equipment was depreciated using the straight-line method based on an estimated useful life of six years and an estimated residual value of $7,920. What was the depreciation oxpanse for me first year? Assuming the squaman was sold at the end of the second year for $59,496, determine the grain orkass on sale of the Aquamant. Required: (a) What was the depreciation expense for...
Equipment was acquired at the beginning of the year at a cost of $75,000. The equipment...
Equipment was acquired at the beginning of the year at a cost of $75,000. The equipment was depreciated using the straight-line method based on an estimated useful life of six years and an estimated residual value of $7,740. Required: (a) What was the depreciation expense for the first year? (b) Assuming the equipment was sold at the end of the second year for $56,786, determine the gain or loss on sale of the equipment. (c) Journalize the entry to record...
Equipment was acquired at the beginning of the year at a cost of $78,660. The equipment...
Equipment was acquired at the beginning of the year at a cost of $78,660. The equipment was depreciated using the straight-line method based on an estimated useful life of six years and an estimated residual value of $7,920. Required: (a) What was the depreciation expense for the first year? (b) Assuming the equipment was sold at the end of the second year for $59,486, determine the gain or loss on sale of the equipment. (c) Journalize the entry to record...
Equipment was acquired at the beginning of the year at a cost of $79,440
Equipment was acquired at the beginning of the year at a cost of $79,440. The equipment was depreciated using the straight-line method based on an estimated useful life of six years and an estimated residual value of $7,500. Required: (a) What was the depreciation expense for the first year? (b) Assuming the equipment was sold at the end of the second year for $59.897, determine the gain or loss on sale of the equipment.(c) Journalize the entry to record the sale Refer to...
Equipment was acquired at the beginning of the year at a cost of $75,000
Equipment was acquired at the beginning of the year at a cost of $75,000. The equipment was depreciated using the straight-line method based upon an estimated useful life of 6 years and an estimated residual value of $7,740. Required: a What was the depreciation expense for the first year? b. Assuming the equipment was sold at the end of the second year for $50,786, determine the gain or loss on sale of the equipment c. Journalize the entry to record the sale. Refer to...
Equipment was acquired at the beginning of the year at a cost of $76,020
Equipment was acquired at the beginning of the year at a cost of $76,020. The equipment was depreciated using the straight-line method based upon an estimated useful life of 6 years and an estimated residual value of $7,800. Required: a. What was the depreciation expense for the first year? b. Assuming the equipment was sold at the end of the second year for $57,542, determine the gain or loss on sale of the equipment. c. Joumalize the entry to record the sale. Refer to...
Equipment was acquired at the beginning of the year at a cost of $662,500. The equipment...
Equipment was acquired at the beginning of the year at a cost of $662,500. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of 9 years and an estimated residual value of $48,430. A. What was the depreciation for the first year? Round your intermediate calculations to 4 decimal places. Round the depreciation for the year to the nearest whole dollar. B. Assuming that the equipment was sold at the end of the second year...
Equipment was acquired at the beginning of the year at a cost of $78,660. The equipment...
Equipment was acquired at the beginning of the year at a cost of $78,660. The equipment was depreciated using the straight-line method based on an estimated useful life of six years and an estimated residual value of $7,920. Required: (a) What was the depreciation expense for the first year? (b) Assuming the equipment was sold at the end of the second year for $59,486, determine the gain or loss on sale of the equipment. (c) Journalize the entry to record...
Chart of Accounts General Journal Analysis Instructions Swann Company sold a delivery truck on April 1,...
Chart of Accounts General Journal Analysis Instructions Swann Company sold a delivery truck on April 1, 2019. Swann had acquired the truck on January 1, 2015, for $12,000. At acquisition, Swann had estimated that the truck would have an estimated life of 5 years and a residual value of $5,000 Swann uses the straight-line method of depreciation. At December 31, 2018, the truck had a book value of $12.400. Required: 1. Prepare any necessary journal entries to record the sale...
SNOW Me How Calculator PER isposal of fixed asset Instructions Chart of Accounts First Questions Journal...
Equipment acquired on January 6 at a cost of $335,190, has an estimated useful life of 13 years and an estimated residual value of $68,690. A What was the annual amount of depreciation for the Years 1-3 using the straight line method of depreciation? B. What was the book value of the equipment on January 1 of Year 47 C. Assuming that the equipment was sold on January 3 of Year 4 for $256,656, journalize the entry to record the sale. Refer to...
Instructions Analysis Equipment was acquired at the beginning of the year at a cost of $74,660. The equipment was depreciated using the straight-line method based on an estimated useful life of six years and an estimated residual value of $7,920. What was the depreciation oxpanse for me first year? Assuming the squaman was sold at the end of the second year for $59,496, determine the grain orkass on sale of the Aquamant. Required: (a) What was the depreciation expense for...
Chart of Accounts General Journal Analysis Instructions Swann Company sold a delivery truck on April 1, 2019. Swann had acquired the truck on January 1, 2015, for $12,000. At acquisition, Swann had estimated that the truck would have an estimated life of 5 years and a residual value of $5,000 Swann uses the straight-line method of depreciation. At December 31, 2018, the truck had a book value of $12.400. Required: 1. Prepare any necessary journal entries to record the sale...
Most questions answered within 3 hours.
-
Silly-Sort(A,i,j)
if A[i] > A[j]
then exchange A[i] and A[j];
if i+1 >= j
then return;...
asked 31 seconds ago -
Discuss the major contributions of Max Weber in understanding
the society theoretically. [10]
asked 3 minutes ago -
The rate constant for a certain reaction is k =
8.50×10−3 s−1 . If the initial...
asked 13 minutes ago -
a 5.00 kg ball moving to the right at a velocity of + 2.00 m /...
asked 8 minutes ago -
A charged paint is spread in a very thin uniform layer over the
surface of a...
asked 11 minutes ago -
The lifetime of a physical mechanism is given as f(x) = {(c/x^2
if 1< x <...
asked 19 minutes ago -
Please help me with this problem below
What is wrong with the following code?
if income...
asked 28 minutes ago -
The following information for the past year is available from
Thinnews Co., a company that uses...
asked 31 minutes ago -
Suppose you work for Allstate, and insurance company and the
data shows the following for auto...
asked 31 minutes ago -
The fresh fruit market and frozen dinner market are
currently in equilibrium. Fresh fruit is a...
asked 37 minutes ago -
(1 point) Golf-course designers have become concerned that old
courses are becoming obsolete since new technology...
asked 35 minutes ago -
The active retelling of dominant cultural stories is known
preserves which concept?
hegemony
heterodoxy
doxa
myth
asked 39 minutes ago