TufStuff Inc sells a wide range of drums, beans, boxes, and other containers that are used in the chemical industry . One of the companies products is a heavy duty corrosion resistant metal drum, called the WBD drum, used to store toxic waste. Production is constrained by the capacity of an automated welding machine that is used to make precision...
Johnson Company purchased a computer system for $66,800 on January 1, 2019. It was depreciated based on a 6-year life and an $17,000 salvage value. On January 1, 2021, Johnson revised these estimates to a total useful life of 4 years and a salvage value of $10,000. Johnson uses straight-line depreciation. Prepare Johnson's entry to record 2021 depreciation expense
a. Barga Company purchases $31,000 of equipment on January 1, 2017. The equipment is expected to last five years and be worth $4,200 at the end of that time. b. Welch Company purchases $11,100 of land on January 1, 2017. The land is expected to last indefinitely Prepare the entries to record one year's depreciation expense of $5,360 for the...
Prepare the journal entries to record the exchange on the books of both companies. Assume that the exchange has commercial substance. (C account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry the account titles and enter 0 for the amounts.) Account Titles and Explanation Debit Credit Novak Company...
6. Award: 8.00 points A machine purchased three years ago for $305,000 has a current book value using straight-line depreciation of $182,000; its operating expenses are $39,000 per year. A replacement machine would cost $229,000, have a useful life of nine years, and would require $12,000 per year in operating expenses. It has an expected salvage value of $65,000 after...
On May 1, Donovan Company reported the following account balances: Current assets $ 130,000 Buildings & equipment (net) 260,000 Total assets $ 390,000 Liabilities $ 98,500 Common stock 150,000 Retained earnings 141,500 Total liabilities and equities $ 390,000 On May 1, Beasley paid $465,200 in stock (fair value) for all of the assets and liabilities of Donovan, which will cease...
Week 5 Homework Assignment-Excel FILE HOME INSERT PAGE LAYOUT FORMULAS DATA REVIEW VIEW Calibri - 11 A A Wrap Text Auto Fil- General Paste BIU - A Merge & Center E Conditional Format as Cell Formatting Insert Delete Formar Clear- Table Styles Clipboard Font Alignment Number Styles Cells K11 A D F G H J 1 Comprehensive Budgeting Problem 20...
a machine that have the equivalent A manufacturing equipment has the following costs. The MARR is 10% compounded sen annualy. It is an acceptable alternative? Compu ethe annual worth First cost: $70,000 Semiannual operating cost: 8,000 Semiannual income: 18,000 Semiannual income gradient: 100 Salvage value: 10,000 Life in years: 4 years a. EAW-$54 b. EAW $741 G. EAW $541 d.EAW...
Question 11 --/1 View Policies Current Attempt in Progress Blue Spruce Company purchases a patent for $312,000 on January 2, 2020. Its estimated useful life is 13 years. Prepare the journal entry to record amortization expense for the first year. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select...
On May 1, Soriano Co. reported the following account balances along with their estimated fair values: Carrying Amount Fair Value Receivables $ 133,500 $ 133,500 Inventory 77,000 77,000 Copyrights 154,500 530,500 Patented technology 911,000 737,000 Total assets $ 1,276,000 $ 1,478,000 Current liabilities $ 190,000 $ 190,000 Long-term liabilities 756,000 738,200 Common stock 100,000 Retained earnings 230,000 Total liabilities and...