A comapny started its operations with $25,700 in cash with the issue of common stock dated Jan 1, Year 1. The proceeds was used to purchase equipment for $25,700 and had a salvage value of $4,500 with 4 years life. In the beginning of 5th year, equipment was being sold for $4,980 for cash (SLM depreciation) Revenue: ($) Year1=7,480 Year2=7,980 Year3=8,180 Year4=6,980 Year5=0 A.Income Statement B.Statement of changes in Stockholder’s equity for each of the five years
A comapny started its operations with $25,700 in cash with the issue of common stock dated Jan 1, Year 1. The proceeds was used to purchase equipment for $25,700 and had a salvage value of $4,500 with 4 years life. In the beginning of 5th year, equipment was being sold for $4,980 for cash (SLM depreciation) Revenue: ($) Year1=7,480 Year2=7,980 Year3=8,180 Year4=6,980 Year5=0 A.Income Statement B.Statement of changes in Stockholder’s equity for each of the five years
Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion
Section: Chapter Questions
Problem 2BCRQ
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A comapny started its operations with $25,700 in cash with the issue of common stock dated Jan 1, Year 1. The proceeds was used to purchase equipment for $25,700 and had a salvage value of $4,500 with 4 years life. In the beginning of 5th year, equipment was being sold for $4,980 for cash (SLM depreciation)
Revenue: ($)
Year1=7,480
Year2=7,980
Year3=8,180
Year4=6,980
Year5=0
A.Income Statement
B.Statement of changes in
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