Date | Journal Entry | Debit | Credit |
Apr-18 | LAND | $ 4,310,000 | |
CASH | $ 1,120,000 | ||
7% MORTGAGE PAYABLE | $ 3,190,000 | ||
31-12-18 | NO DEPRECIATION IS CHARGED ON LAND | ||
01-05-18 | CASH | $ 310,000 | |
ACCUMULATED DEPRECIATION- EQUIPMENT | $ 1,908,720 | ||
LOSS ON SALE OF EQUIPMENT | $ 384,080 | ||
EQUIPMENT | $ 2,602,800 | ||
01-06-18 | CASH | $ 942,600 | |
5% NOTE RECEIVABLE | $ 2,822,400 | ||
LAND | $ 1,400,000 | ||
GAIN ON SALE OF EQUIPMENT | $ 2,365,000 | ||
01-07-18 | EQUIPMENT | $ 2,200,000 | |
CASH | $ 2,200,000 | ||
31-12-18 | LOSS ON RETIREMENT | $ 110,000 | |
ACCUMULATED DEPRECIATION- EQUIPMENT | $ 990,000 | ||
EQUIPMENT | $ 1,100,000 | ||
31-12-18 | IMPAIRMENT LOSS | $ 2,910,000 | |
LAND | $ 2,910,000 |
calculations:
VALUE OF EQUIPMENT ON 1/5/18 | |
PURCHASE COST ON 1/1/10 | $ 2,602,800 |
DEPRECIATION | $ 260,280 |
=2602800/10 | |
ACCUMULATED DEPRECIATION- EQUIPMENT ON 1/5/18 | |
ON 1/1/18 (260280 * 7) | $ 1,821,960 |
ON 1/5/18 (260280 /12*4) | $ 86,760 |
$ 1,908,720 |
VALUE OF EQUIPMENT ON 31/12/18 | |
PURCHASE COST ON 1/1/09 | $ 1,100,000 |
DEPRECIATION | $ 110,000 |
=1100000/10 | |
ACCUMULATED DEPRECIATION- EQUIPMENT ON 1/5/18 | |
ON 31-12-2018 (110000* 9) | $ 990,000 |
$ 990,000 |
LAND CLOSING VALUE ON 31/12/18 | |
OPENING VALUE | $ 20,900,000 |
PURCHASES | $ 4,310,000 |
SALES | $ (1,400,000) |
CLOSING VALUE | $ 23,810,000 |
RECOVERABLE VALUE | $ 20,900,000 |
IMPAIRMENT LOSS | $ 2,910,000 |
*Problem 9-8A a-c (Part Level Submission) At January 1, 2018, Oriole Limited reported the following property, plant, an...
*Problem 9-8A a-c (Part Level Submission) At January 1, 2018, Oriole Limited reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings Accumulated depreciation-equipment Buildings Equipment Land $67,700,000 49,400,000 90,500,000 145,400,000 20,900,000 The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a 10-year useful life and no residual...
Question 2 At January 1, 2018, Oriole Limited reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings $67,700,000 Accumulated depreciation equipment 56,500,000 Buildings 94,700,000 Equipment 157,500,000 21,000,000 Land The company uses straight line depreciation for buildings and equipment, its year and is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful and no residual value; the equipment is estimated to have a 10-year useful life and no residual value During 2018,...
Please help me out with this:) Problem 9-8A a-c (Part Level Submission) At January 1, 2018, Ivanhoe Limited reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings Accumulated depreciation-equipment Buildings Equipment Land $60,900,000 53,800,000 96,400,000 146,000,000 21,100,000 The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a...
At January 1, 2018, Sunland Limited reported the following property, plant, and equipment accounts: Accumulated depreciation—buildings $59,500,000 Accumulated depreciation—equipment 57,100,000 Buildings 102,500,000 Equipment 152,600,000 Land 20,600,000 The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a 10-year useful life and no residual value. During 2018, the following selected...
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At January 1, 2018, Cullumber Limited reported the following property, plant, and equipment accounts: Accumulated depreciation—buildings $62,300,000 Accumulated depreciation—equipment 50,300,000 Buildings 96,100,000 Equipment 150,300,000 Land 18,100,000 The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a 10-year useful life and no residual value. During 2018, the following selected...
At January 1, 2018, Ivanhoe Limited reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings Accumulated depreciation equipment Buildings $56,600,000 55,000,000 100,600,000 140,500,000 19,700,000 Equipment Land The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a 10-year useful life and no residual value. During 2018, the following...
At January 1, 2018, Sheridan Limited reported the following property, plant, and equipment accounts: Accumulated depreciation—buildings $65,600,000 Accumulated depreciation—equipment 49,100,000 Buildings 96,400,000 Equipment 156,900,000 Land 20,300,000 The company uses straight-line depreciation for buildings and equipment, its year end is December 31, and it makes adjusting entries annually. The buildings are estimated to have a 40-year useful life and no residual value; the equipment is estimated to have a 10-year useful life and no residual value. During 2018, the following selected...
BACK NE Question 2 At January 1, 2018, Crane Limited reported the following property Accumulated depreciation--buildings Accumulated depreciation-equipment Buildings Equipment Land $63,800,000 57,600,000 91,400,000 136,300,000 19,000,000 The company uses straight-line depreciation for buildings and equipment, its year and is December 31, and it makes adjusting entries analy. The buildings are estimated to have a 40-year se He and no residual values the equipment is estimated to have a 10 year Me and residual value During 2018, the following selected transactions...