Homework Answers
Straight line depreciation = $21,800
Working
| Straight line Method | ||
| A | Cost [76000+121000+18000+19000] | $ 234,000 |
| B | Residual Value | $ 16,000 |
| C=A - B | Depreciable base | $ 218,000 |
| D | Life [in years left ] | 10 |
| E=C/D | Annual SLM depreciation | $ 21,800.00 |
Renovation cost before starting to use asset is also added to cost of land and building.
Add Answer to:
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building...
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building...
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building for $76,000 cash and the land on which it was located for $121,000 cash. The company paid transfer costs of $18,000 ($4,000 for the building and $14,000 for the land). Renovation costs on the building before it could be used were $19,000. 3. What would be the net book value of the property (land and building) at the end of year 2 (Amounts to...
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building...
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building for $76,000 cash and the land on which it was located for $121,000 cash. The company paid transfer costs of $18,000 $4,000 for the building and $14,000 for the land). Renovation costs on the building before it could be used were $19,000. Required: 1. Prepare the journal entry to record the purchase of the property, including all relevant expenditures. Assume that all transactions were...
Required information [The following information applies to the questions displayed below.] Shahia Company bought a building...
Required information [The following information applies to the questions displayed below.] Shahia Company bought a building for $80,000 cash and the land on which it was located for $115,000 cash. The company paid transfer costs of $10,000 ($5,000 for the building and $5,000 for the land). Renovation costs on the building before it could be used were $28,000. 3. What would be the net book value of the property (land and building) at the end of year 2? (Amounts to...
Shahia Company bought a building for $91,000 cash and the land on which it was located...
Shahia Company bought a building for $91,000 cash and the land on which it was located for $116,000 cash. The company paid transfer costs of $14,000 ($7,000 for the building and $7,000 for the land). Renovation costs on the building were $29,000. 2. Compute straight-line depreciation at the end of one year, assuming an estimated 10-year useful life and a $13,000 estimated residual value. Straight-line depreciation $ 11,400 3. What would be the net book value of the property (land...
[The following information applies to the questions displayed below.] Bridge City Consulting bought a building and...
[The following information applies to the questions displayed below.] Bridge City Consulting bought a building and the land on which it is located for $160,000 cash. The land is estimated to represent 70 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use. We were unable to transcribe this image3. Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10- year useful life and a $6,000...
Required information (The following information applies to the questions displayed below.) Schrade Company bought a machine...
Required information (The following information applies to the questions displayed below.) Schrade Company bought a machine for $96,000 cash. The estimated useful life was four years and the estimated residual value was $6,000. Assume that the estimated useful life in productive units is 120,000. Units actually produced were 43,000 in Year 1 and 45,000 in Year 2. Required: 1. Determine the appropriate amounts to complete the following schedule. (Do not round your intermediate calculations.) Depreciation Expense for Year 1 Year...
These are all on the same question. Required information The following information applies to the questions...
These are all on the same question.
Required information The following information applies to the questions displayed below] As part of a major renovation at the beginning of the year, Atiase Pharmaceuticals, Inc. sold shelving units (recorded as Equipment) that were 10 years old for $950 cash. The shelves originally cost $7,000 and had been depreciated on a straight-line basis over an estimated useful life of 10 years with an estimated residual value of $500. 1. Complete the table below,...
Required Information E9-2 Computing and Recording a Basket Purchase and Straight-Line Depreciation (LO 9-2, LO 9-3)...
Required Information E9-2 Computing and Recording a Basket Purchase and Straight-Line Depreciation (LO 9-2, LO 9-3) {The following Information applies to the questions displayed below) Bridge City Consulting bought a building and the land on which it is located for $135,000 cash. The land is estimated to represent 50 percent of the purchase price. The company paid $6.000 for building renovations before it was ready for use E9-2 Part 3 and 4 3. Compute straight-line depreciation on the building at...
Required information [The following information applies to the questions displayed below.] Wardell Company purchased a...
Required information [The following information applies to the questions displayed below.] Wardell Company purchased a mainframe on January 1, 2019, at a cost of $46,000. The computer was depreciated using the straight-line method over an estimated five-year life with an estimated residual value of $7,000. On January 1, 2021, the estimate of useful life was changed to a total of 10 years, and the estimate of residual value was changed to $1,000. Required: 1. Prepare the year-end journal entry for...
Required information (The following information applies to the questions displayed below.) Peng Company is considering an...
Required information (The following information applies to the questions displayed below.) Peng Company is considering an investment expected to generate an average net income after taxes of $2,100 for three years. The investment costs $48,000 and has an estimated $10,200 salvage value. Compute the accounting rate of return for this investment; assume the company uses straight-line depreciation Choose Numerator: Accounting Rate of Return Choose Denominator: - Accounting Rate of Return Accounting rate of return Required information [The following information applies...
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building for $76,000 cash and the land on which it was located for $121,000 cash. The company paid transfer costs of $18,000 ($4,000 for the building and $14,000 for the land). Renovation costs on the building before it could be used were $19,000. 3. What would be the net book value of the property (land and building) at the end of year 2 (Amounts to...
Required information (The following information applies to the questions displayed below.) Shahia Company bought a building for $76,000 cash and the land on which it was located for $121,000 cash. The company paid transfer costs of $18,000 $4,000 for the building and $14,000 for the land). Renovation costs on the building before it could be used were $19,000. Required: 1. Prepare the journal entry to record the purchase of the property, including all relevant expenditures. Assume that all transactions were...
Required information [The following information applies to the questions displayed below.] Shahia Company bought a building for $80,000 cash and the land on which it was located for $115,000 cash. The company paid transfer costs of $10,000 ($5,000 for the building and $5,000 for the land). Renovation costs on the building before it could be used were $28,000. 3. What would be the net book value of the property (land and building) at the end of year 2? (Amounts to...
Shahia Company bought a building for $91,000 cash and the land on which it was located for $116,000 cash. The company paid transfer costs of $14,000 ($7,000 for the building and $7,000 for the land). Renovation costs on the building were $29,000. 2. Compute straight-line depreciation at the end of one year, assuming an estimated 10-year useful life and a $13,000 estimated residual value. Straight-line depreciation $ 11,400 3. What would be the net book value of the property (land...
[The following information applies to the questions displayed below.] Bridge City Consulting bought a building and the land on which it is located for $160,000 cash. The land is estimated to represent 70 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use. We were unable to transcribe this image3. Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10- year useful life and a $6,000...
Required information (The following information applies to the questions displayed below.) Schrade Company bought a machine for $96,000 cash. The estimated useful life was four years and the estimated residual value was $6,000. Assume that the estimated useful life in productive units is 120,000. Units actually produced were 43,000 in Year 1 and 45,000 in Year 2. Required: 1. Determine the appropriate amounts to complete the following schedule. (Do not round your intermediate calculations.) Depreciation Expense for Year 1 Year...
These are all on the same question.
Required information The following information applies to the questions displayed below] As part of a major renovation at the beginning of the year, Atiase Pharmaceuticals, Inc. sold shelving units (recorded as Equipment) that were 10 years old for $950 cash. The shelves originally cost $7,000 and had been depreciated on a straight-line basis over an estimated useful life of 10 years with an estimated residual value of $500. 1. Complete the table below,...
Required Information E9-2 Computing and Recording a Basket Purchase and Straight-Line Depreciation (LO 9-2, LO 9-3) {The following Information applies to the questions displayed below) Bridge City Consulting bought a building and the land on which it is located for $135,000 cash. The land is estimated to represent 50 percent of the purchase price. The company paid $6.000 for building renovations before it was ready for use E9-2 Part 3 and 4 3. Compute straight-line depreciation on the building at...
Required information [The following information applies to the questions displayed below.] Wardell Company purchased a mainframe on January 1, 2019, at a cost of $46,000. The computer was depreciated using the straight-line method over an estimated five-year life with an estimated residual value of $7,000. On January 1, 2021, the estimate of useful life was changed to a total of 10 years, and the estimate of residual value was changed to $1,000. Required: 1. Prepare the year-end journal entry for...
Required information (The following information applies to the questions displayed below.) Peng Company is considering an investment expected to generate an average net income after taxes of $2,100 for three years. The investment costs $48,000 and has an estimated $10,200 salvage value. Compute the accounting rate of return for this investment; assume the company uses straight-line depreciation Choose Numerator: Accounting Rate of Return Choose Denominator: - Accounting Rate of Return Accounting rate of return Required information [The following information applies...
Most questions answered within 3 hours.
-
The extent to which assets are financed by borrowed funds and
other liabilities is indicated by:...
asked 24 minutes ago -
Explain in detail
Germany is the fifth largest economy
explain what goods and services Germany specializes...
asked 38 minutes ago -
The density of platinum is 21.45 g/mL. If a cube of platinum
with a mass of...
asked 44 minutes ago -
Accounts Receivable
Sales
A/R Posting
Extended Sales Invoice
Packing Slip
Compare invoice to packing slip 2...
asked 46 minutes ago -
Michaella, age 23, is a full-time law student and is claimed by
her parents as a...
asked 47 minutes ago -
Why are polymers not typically casted into products?
asked 1 hour ago -
When rolling a die 129 times, what is the probability of rolling
a 6 no more...
asked 1 hour ago -
4. A call option currently sells for $7.75. It has a strike
price of $85 and...
asked 1 hour ago -
1.
You need to prepare 10.0 liters of an acid aqueous solution with a
pH of...
asked 1 hour ago -
Along an aggregate supply curve, if the level of output is less
than the natural level...
asked 1 hour ago -
By 2025, annual consumption in emerging markets will total $30
trillion and contribute more than ________...
asked 1 hour ago -
At what point does reformation cease to be a viable option for
those who are oppressed...
asked 1 hour ago