Recording partial-year depreciation and sale of an asset On January 2, 2016, Pet Spa purchased fixtures for $37,800 cash, expecting the fixtures to remain in service for six years. Pet Spa has depreciated the fixtures on a straight-line basis, with $9,000 residual value. On May 31, 2018, Pet Spa sold the fixtures for $24,200 cash. Record both depreciation expense for 2018 and sale of the fixtures on May 31, 2018.

Whispering Company owns equipment that cost $100,000 when purchased on January 1, 2019. It has been depreciated using the straight-line method based on an estimated salvage value of $10,000 and an estimated useful life of 5 years. Depreciation expense adjustments are recognized annually. Instructions: Prepare Whispering Company's journal entries to record the sale of the equipment in these four independent situations. Update depreciation on assets disposed of at time of sale. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) (a) (b) (c) (d) (e) (f) (a) Sold for $59,000 on January 1, 2022. Sold for $59,000 on April 1, 2022. SR. Account Titles and Explanation (b) Sold for $21,000 on January 1, 2022. Sold for $21,000 on September 1, 2022. Repeat (a), assuming Whispering uses double-declining…

Partial Year Depreciation On July 1, 2016, the Fish Band acquires sound equipment for concert performances at a cost of $65,800. The band estimates it will use this equipment for four years, during which time it anticipates performing about 200 concerts. It estimates that after four years it can sell the equipment for $2,000. Compute the year 2016 depreciation using the straight-line method.

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Depreciation Methods On January 2, Alvarez Company purchased an electroplating machine to help manufacture a part for one of its key products. The machine cost $240,000 and was estimated to have a useful life of six years or 700,000 cuttings, after which it could be sold for $24,400. Required a. Calculate each year’s depreciation expense for the period under each of the following depreciation methods (round all answers to the nearest dollar): 1. Straight-line.2. Double-declining balance.3. Units-of-production. (Assume annual production in platings of 140,000; 180,000; 100,000; 110,000; 80,000; and 90,000.)   1. Straight-Line Year DepreciationExpense Year 1 $Answer Year 2 Answer Year 3 Answer Year 4 Answer Year 5 Answer Year 6 Answer   2. Double-declining balance Year DepreciationExpense Year 1 $Answer Year 2 Answer Year 3 Answer Year 4 Answer Year 5 Answer Year 6 Answer   3. Units of Production Year DepreciationExpense Year 1 $Answer…

Sandhill company owns equipment that cost $120,000 when purchased on January 1, 2018. It has been depreciated using the straight line method based on estimated salvage value of $16,500 and an estimated useful life of 5 years. Prepare sandhill company's journal entries to record the sale of the equipment in these four independent situations. Sold for $59,000 on Jan 1, 2021 Sold for $59,000 on May 1, 2021 Sold for $38,500 on Jan 1, 2021 Sold for $38,500 on October 1, 2021

Sunland Corporation owns machinery that cost $25,200 when purchased on July 1, 2022. Depreciation has been recorded at a rate of $3,024 per year, resulting in a balance in accumulated depreciation of $10,584 at December 31, 2025. The machinery is sold on September 1, 2026, for $13,230. Prepare journal entries to (a) update depreciation for 2026 and (b) record the sale.

Calculate the depreciation expense in the year of 2014 by using Straight line method Asif Company acquired machinery on January 1, 2014 with an amount AED84,000. The useful life of the machinery is expected to be 4 years. The salvage value at the end of the life of the machinery is expected to be AED4,000. The machinery can produce maximum 80,000 units during its useful life.

Computing Depreciation Using Various Depreciation Methods To demonstrate the computations involved in several methods of depreciating a fixed asset, the following data are used for equipment purchased on January 1, 2020. Cost and residual value   Estimated service life:   Acquisition cost $26,250 Years 5 Residual value $1,050 Service hours 21,000     Productive output (units) 50,400 e. Double-declining-balance method: Compute the depreciation amount for each year. 2020 2021 2022 2023 2024 Answer   Answer   Answer   Answer   Answer

Depreciation by Three Methods; Partial Years Razar Sharp Company purchased equipment on July 1, 2014, for $69,660. The equipment was expected to have a useful life of three years, or 5,400 operating hours, and a residual value of $2,160. The equipment was used for 1,000 hours during 2014, 1,900 hours in 2015, 1,600 hours in 2016, and 900 hours in 2017. Required: Determine the amount of depreciation expense for the years ended December 31, 2014, 2015, 2016, and 2017, by (a) the straight-line method, (b) units-of-output method, and (c) the double-declining-balance method. Note: FOR DECLINING BALANCE ONLY, round the multiplier to four decimal places. Then round the answer for each year to the nearest whole dollar. a.  Straight-line method Year Amount 2014 $fill in the blank 1 2015 $fill in the blank 2 2016 $fill in the blank 3 2017 $fill in the blank 4 b.  Units-of-output method Year Amount 2014 $fill in the blank 5 2015 $fill in the blank 6 2016 $fill in the blank…