Express Co. purchased equipment on March 1, 2019, for $95.000 on account. The equipment had an estimated useful life of five yearswith a residual value of $5.000. The equipment is disposed of on February 1. 2022. Express Co. uses the diminishing balance methodof depreciation with a 20% rate and calculates depreciation for partial periods to the nearest month The company has an August 31year endYour answer is correct.Record the acquisition of the equipment on March 1, 2019. (Credit account titles are automatically indented when theamount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O forthe amountsJDebitCreditDate Account Titles and Explanation95000Mar 1faiement500Accounts FavableTorrserd purchase of equipment on account) Your answer is partially correctRecord the disposal on February 1, 2022, under the following assumptions: (Credit account titles are automatically indentedwhen the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles andenter O for the amounts.)1.It was scrapped with no residual value.2.It was sold for $55,000.3.It was sold for $45,000.It was traded for new equipment with a list price of $97,000. Express was given a trade-in allowance of $52.000 on theold equipment and paid the balance in cash. Express determined the old equipment's fair value to be $47,000 at the dateof the exchange.4.CreditDate Account Titlesand Explanation

Name: Express Co. purchased equipment on March 1, 2019, for $95.000 on acco
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Description: Express Co. purchased equipment on March 1, 2019, for $95.000 on account. The equipment had an estimated useful life of five yearswith a residual value of $5.000. The equipment is disposed of on February 1. 2022. Express Co. uses the diminishing bal

Journal is the recording of financial transactions in the chronological order using the dual entity…

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Express Co purchased equipment on March 1, 2019, for $95.000 on account. The equipment had an estimated uneful e of five years with a residual value of $5.000. The equipment is disposed of on Febrary 1.2022 Express Co. uses the diminishing balance method of depreciation with a 20% rate and calculates depreciation for partial periods to the nearest month The company has an Aupunt 31 year end Your answer is correct Record the acquisition of the equipment on March 1. 2019. (Credit account titles are automatically indented when the amount is entered. De not indent manually. If no entry is required, select "Ne Entry for the account titles and enter Ofor the amounts Debit Credit Date Account Titles and Explanation 9000 Mar 1 fooment

Express Co purchased equipment on March 1, 2019, for $95.000 on account. The equipment had an estimated uneful e of five years with a residual value of $5.000. The equipment is disposed of on Febrary 1.2022 Express Co. uses the diminishing balance method of depreciation with a 20% rate and calculates depreciation for partial periods to the nearest month The company has an Aupunt 31 year end Your answer is correct Record the acquisition of the equipment on March 1. 2019. (Credit account titles are automatically indented when the amount is entered. De not indent manually. If no entry is required, select "Ne Entry for the account titles and enter Ofor the amounts Debit Credit Date Account Titles and Explanation 9000 Mar 1 fooment

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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