Swifty Company purchased a computer system for $64,600 on January 1, 2024. It was depreciated based on a 6-year life and an $19,000 salvage value. On January 1, 2026, Swifty revised these estimates to a total useful life of 4 years and a salvage value of $10,100. Prepare Swifty's entry to record 2026 depreciation expense. Swifty uses straight-line depreciation. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Account Titles and Explanation Depreciation Expense Debit 17750 Credit Accumulated Depreciation-Equipment 17750

Swifty Company purchased a computer system for $64,600 on January 1, 2024. It was depreciated based on a 6-year life and an $19,000 salvage value. On January 1, 2026, Swifty revised these estimates to a total useful life of 4 years and a salvage value of $10,100. Prepare Swifty's entry to record 2026 depreciation expense. Swifty uses straight-line depreciation. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Account Titles and Explanation Depreciation Expense Debit 17750 Credit Accumulated Depreciation-Equipment 17750

College Accounting, Chapters 1-27

23rd Edition

ISBN:9781337794756

Author:HEINTZ, James A.

Publisher:HEINTZ, James A.

Chapter18: Accounting For Long-term Assets

Section: Chapter Questions

Problem 4CE: Grandorf Company replaced the engine in a truck for 8,000 and expects the new engine will extend the...

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Grandorf Company replaced the engine in a truck for 8,000 and expects the new engine will extend the life of the truck two years beyond the original estimated life. Related information is provided below. Cost of truck 65,000 Salvage value 5,000 Original estimated life 6 years The truck was purchased on January 1, 20-1. The engine was replaced on January 1, 20-6. Using straight-line depreciation, compute depreciation expense for 20-6.
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