Required information [The following information applies to the questions displayed below.] At the beginning of the year, Ramos Incorporated bought three used machines from Santaro Corporation. The machines immediately were overhauled and started operating. The machines were different; therefore, each had to be recorded separately in the accounts. No 1 Invoice price of the asset Shipping costs 1,100 Renovation costs prior to use 1,600 By the end of the first year, each machine had been operating 7,000 hours. 2. Prepare the entry to record depreciation expense at the end of Year 1 (with separate accumulated depreciation accounts for each machine), assuming the following: Note: Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Machine A B C Life 8 years 33,000 hours 5 years Machine A Machine B Machine C $12,200 $32,500 $21,700 1,600 1,100 600 1,400 Transaction a ESTIMATES Residual Value $1,000 2,000 1,400 Depreciation Method Straight-line Units-of-production Double-declining-balance Answer is not complete. General Journal Depreciation expense Accumulated depreciation, Machine A Depreciation expense Accumulated depreciation, Machine B Depreciation expense Accumulated depreciation, Machine C X Debit 1,675 7,000 X 4,880 X Credit 1,675 7,000 4,880
Required information [The following information applies to the questions displayed below.] At the beginning of the year, Ramos Incorporated bought three used machines from Santaro Corporation. The machines immediately were overhauled and started operating. The machines were different; therefore, each had to be recorded separately in the accounts. No 1 Invoice price of the asset Shipping costs 1,100 Renovation costs prior to use 1,600 By the end of the first year, each machine had been operating 7,000 hours. 2. Prepare the entry to record depreciation expense at the end of Year 1 (with separate accumulated depreciation accounts for each machine), assuming the following: Note: Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Machine A B C Life 8 years 33,000 hours 5 years Machine A Machine B Machine C $12,200 $32,500 $21,700 1,600 1,100 600 1,400 Transaction a ESTIMATES Residual Value $1,000 2,000 1,400 Depreciation Method Straight-line Units-of-production Double-declining-balance Answer is not complete. General Journal Depreciation expense Accumulated depreciation, Machine A Depreciation expense Accumulated depreciation, Machine B Depreciation expense Accumulated depreciation, Machine C X Debit 1,675 7,000 X 4,880 X Credit 1,675 7,000 4,880
Century 21 Accounting Multicolumn Journal
11th Edition
ISBN:9781337679503
Author:Gilbertson
Publisher:Gilbertson
Chapter19: Accounting For Plant Assets, Depreciation, And Intangible Assets
Section: Chapter Questions
Problem 1CP
Related questions
Question
Gadubhai
Don't upload image please
![Required information
[The following information applies to the questions displayed below.]
At the beginning of the year, Ramos Incorporated bought three used machines from Santaro Corporation. The machines
immediately were overhauled and started operating. The machines were different; therefore, each had to be recorded
separately in the accounts.
Invoice price of the asset
Shipping costs
Renovation costs prior to use
No
1
Machine
A
B
C
By the end of the first year, each machine had been operating 7,000 hours.
2. Prepare the entry to record depreciation expense at the end of Year 1 (with separate accumulated depreciation accounts for each
machine), assuming the following:
Note: Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in
the first account field.
Life
8 years
33,000 hours
5 years
Machine A Machine B Machine C
$12,200 $32,500
$21,700
1,600
600
Transaction
a
1,100
1,400
ESTIMATES
Residual Value
$1,000
2,000
1,400
Depreciation Method
1,100
1,600
Straight-line
Units-of-production
Double-declining-balance
> Answer is not complete.
General Journal
Depreciation expense
Accumulated depreciation, Machine A
Depreciation expense
Accumulated depreciation, Machine B
Depreciation expense
Accumulated depreciation, Machine C
Debit
1,675 X
7,000x
4,880 x
Credit
1,675✔
7,000 ✓
4,880](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F27892ff0-ddf3-4281-93f0-e327b2adfef3%2F7225c9ed-adc6-4db0-808c-4cac5e01f175%2F12vk6qt_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
[The following information applies to the questions displayed below.]
At the beginning of the year, Ramos Incorporated bought three used machines from Santaro Corporation. The machines
immediately were overhauled and started operating. The machines were different; therefore, each had to be recorded
separately in the accounts.
Invoice price of the asset
Shipping costs
Renovation costs prior to use
No
1
Machine
A
B
C
By the end of the first year, each machine had been operating 7,000 hours.
2. Prepare the entry to record depreciation expense at the end of Year 1 (with separate accumulated depreciation accounts for each
machine), assuming the following:
Note: Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in
the first account field.
Life
8 years
33,000 hours
5 years
Machine A Machine B Machine C
$12,200 $32,500
$21,700
1,600
600
Transaction
a
1,100
1,400
ESTIMATES
Residual Value
$1,000
2,000
1,400
Depreciation Method
1,100
1,600
Straight-line
Units-of-production
Double-declining-balance
> Answer is not complete.
General Journal
Depreciation expense
Accumulated depreciation, Machine A
Depreciation expense
Accumulated depreciation, Machine B
Depreciation expense
Accumulated depreciation, Machine C
Debit
1,675 X
7,000x
4,880 x
Credit
1,675✔
7,000 ✓
4,880
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Century 21 Accounting Multicolumn Journal
Accounting
ISBN:
9781337679503
Author:
Gilbertson
Publisher:
Cengage
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College