TaiseQI eBookShow Me HowPrint ItemDisposal of Fixed AssetEquipment acquired on January 6 at a cost of $322,900 has an estimated useful life of 9 years and an estimated residual value of $42,100.a. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation?YearDepreciation ExpenseYear 1Year 2Year 3b. What was the book value of the equipment on January 1 of Year 4?c. Assuming that the equipment was sold on January 3 of Year 4 for $217,800, journalize the entry to record the sale. If an amount box does not require an entry, leave it blankJan. 3 d. Assuming that the equipment had been sold on January 3 of Year 4 for $233,900 instead of $217,800, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.Jan. 3

Name: TaiseQI eBookShow Me HowPrint ItemDisposal of Fixed AssetEquipment ac
Uploaded: 2024-03-05T11:50:36.000Z
Channel: Bartleby
Description: TaiseQI eBookShow Me HowPrint ItemDisposal of Fixed AssetEquipment acquired on January 6 at a cost of $322,900 has an estimated useful life of 9 years and an estimated residual value of $42,100.a. What was the annual amount of depreciation for the Y

Depreciation is a non-cash expense. We book the depreciation to record the normal wear and tear of…

Business

Accounting

Equipment acquired on January 6 at a cost of $322,900 has an estimated useful life of 9 years and an estimated residual value of $42,100. a. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation? Year Depreciation Expense Year 1 Year 2 Year 3 b. What was the book value of the equipment on January 1 of Year 4? 24 c. Assuming that the equipment was sold on January 3 of Year 4 for $217,800, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank Jan. 3

Equipment acquired on January 6 at a cost of $322,900 has an estimated useful life of 9 years and an estimated residual value of $42,100. a. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation? Year Depreciation Expense Year 1 Year 2 Year 3 b. What was the book value of the equipment on January 1 of Year 4? 24 c. Assuming that the equipment was sold on January 3 of Year 4 for $217,800, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank Jan. 3

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter8: Operating Assets: Property, Plant, And Equipment, And Intangibles

Section: Chapter Questions

Problem 8.6E

See similar textbooks

Similar questions

Entries for sale of fixed asset Instructions Chart of Accounts First Question Journal Instructions Equipment acquired on January 8 at a cost of $136,150 has an estimated useful life of 15 years, has an estimated residual value of $8,050, and is depreciated by the straight-line method. Required: a. What was the book value of the equipment at December 31 the end of the fourth year? b. Assuming that the equipment was sold on April 1 of the fifth year for $93,175, journalize the entries to record (1) depreciation for the three months until the sale date and (2) the sale of the equipment. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered. Round your answer to the nearest whole dollar. Chart of…
eBook Show Me How Comparing Three Depreciation Methods Dexter Industries purchased packaging equipment on January 8 for $72,000. The equipment was expected to have a useful life of three years, or 18,000 operating hours, and a residual value of $4,500. The equipment was used for 7,600 hours during Year 1, 6,000 hours in Year 2, and 4,400 hours in Year 3. Required: 1. Determine the amount of depreciation expense for the years ended December 31, Year 1, Year 2 and Year 3 by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the three years by each method. Round the answer for each year to the nearest whole dollar. Depreciation Expense Year Straight-Line Method Units-of-Activity Method Double-Declining-Balance Method Year 1 $fill in the blank 1 $fill in the blank 2 $fill in the blank 3 Year 2 fill in the blank 4 fill in the blank 5 fill in the blank 6…
Question When computing depreciation expence of PE bo g toutle-decing e depreciation method produce the seme OA aual book vatue of the asset OR lotal depreciation expecse over the assets usetul e Oc amnua depreciation expense of the assat. OD. annual tax paid. MacBookk Pro
Equipment acquired on January 3,20Y1, at a cost of $412,500, has an estimated useful life of 20 years and an estimated residual a. What was the annual amount of depreciation for the years 20Y1,20Y2, and 20Y3, using the straight-line method of depreciation? Round annual depreciation to the nearest dollar and use this amount in your follow-on calculations. Depreciation expense \table[[20Y1,$
eBook Entries for sale of fixed asset S Equipment acquired on January 8 at a cost of $125,920 has an estimated useful life of 14 years, has an estimated residual value of $8,600, and is depreciated by the straight-line method. Show Me How What was the book value of the equipment at December 31 the end of the fourth year? Account b. Assuming that the equipment was sold on April 1 of the fifth year for $85,120. 1. Journalize the entry to record depreciation for the 3 months until the sale date. If an amount box does not require an entry, leave it blank. Round your answers to the nearest whole dollar if required. Debit Credit Print Item 0000 8 2. Journalize the entry to record the sale of the equipment. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations. 0000
Using the following information: A. make the December 31 adjusting journal entry for depreciation B. determine the net book value (NBV) of the asset on December 31 Cost of asset, $250,000 Accumulated depreciation, beginning of year, $80,000 Current year depreciation, $25,000
Comparative Analysis: Under Armour, Inc., versus Columbia Sportswear Refer to the 10-K reports of Under Armour, Inc., and Columbia Sportswear that are available for download from the companion website at CengageBrain.com. Required: With regard to depreciation methods: a. What depreciation method does Under Armour use? What depreciation method does Columbia use? b. What are the typical useful lives of each companys operating assets? c. What effect will the useful lives have on the companys financial statements?
DISPOSITION OF ASSETS: JOURNALIZING Mayer Delivery Co. had the following plant asset transactions during the year: 1. Assets discarded or sold: Jan. 1 Van #11, which had a cost of 8,800 and accumulated depreciation of 8,800, was discarded. 8 Van #7, which had a cost of 9,400 and accumulated depreciation of 9,000, was sold for 200. 14 Van #13, which had a cost of 7,600 and accumulated depreciation of 7,400, was sold for 250. 2. Assets exchanged or traded in: Feb. 1 Van #8, which had a cost of 11,000 and accumulated depreciation of 8,800, was traded in for a new van (#20) with a fair market value of 13,000. The old van and 10,500 in cash were given for the new van. 9 Van #3, which had a cost of 7,500 and accumulated depreciation of 7,000, was traded in for a new van (#21) with a fair market value of 9,500. The old van and 9,200 in cash were given for the new van. REQUIRED Prepare general journal entries for the transactions.
w Show Me How Print Item Question Content Area Comparing Three Depreciation Methods Dexter Industries purchased packaging equipment on January 8 for $393,800. The equipment was expected to have a useful life of four years, or 8,400 operating hours, and a residual value of $32,600. The equipment was used for 2,940 hours during Year 1, 1,764 hours in Year 2, 2,352 hours in Year 3, and 1,344 hours in Year 4. Required: 1. Determine the amount of depreciation expense for the four years ending December 31 by (a) the straight-line method, (b) the units-of-activity method, and (c) the double-declining-balance method. Also determine the total depreciation expense for the four years by each method. Round the answer for each year to the nearest whole dollar. Depreciation Expense Year Straight-Line Method Units-of-Activity Method Double-Declining-Balance Method Year 1 $fill in the blank 1 $fill in the blank 2 $fill in the blank 3 Year 2 $fill in the blank 4 $fill in…
Entries for Sale of Fixed AssetEquipment acquired on January 8 at a cost of $136,520, has an estimated useful life of 17 years, has an estimated residual value of $7,150, and is depreciated by the straight-line method.a. What was the book value of the equipment at December 31 the end of the fourth year?$b. Assuming that the equipment was sold on April 1 of the fifth year for 99,007.1. Journalize the entry to record depreciation for the three months until the sale date. Round your answers to the nerest whole dollar if required. Depreciation Expense-Equipment Accumulated Depreciation-Equipment 2. Journalize the entry to record the sale of the equipment. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations. Cash Accumulated Depreciation-Equipment Loss on Sale of Equipment Equipment
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $168,000 has an estimated useful life of 18 years, has an estimated residual value of $15,000, and is depreciated by the straight-line method. a. What was the book value of the equipment at December 31 the end of the fourth year? 3,024,00 x Feedback V Check My Work Book value is the initial cost of the fixed asset minus the accumulated depreciation. b. Assume that the equipment was sold on April 1 of the fifth year for $125,000. 1. Journalize the entry to record depreciation for the three months until the sale date. If an amount box does not require an entry, leave it blank. Depreciation Expense-Equipment Accumulated Depreciation-Equipment
Following information provided related to an Equipment: • Book value (beginning of the year) OMR 100,000 • Depreciation rate 45% Which of the following is the equipment's book value (end of the year) using written down value method? a. OMR 55,000 b. OMR 45,000 c. OMR 40,000 d. OMR 100,000