Question

Equipment was acquired at the beginning of the year at a cost of $537,500. The equipment...

Equipment was acquired at the beginning of the year at a cost of $537,500. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of 9 years and an estimated residual value of $47,040.

A. What was the depreciation for the first year? Round your intermediate calculations to 4 decimal places. Round the depreciation for the year to the nearest whole dollar.
B. Assuming that the equipment was sold at the end of the second year for $532,597, determine the gain or loss on the sale of the equipment.
C. Journalize the entry on Dec. 31 to record the sale. Refer to the Chart of Accounts for exact wording of account titles.

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Equipment was acquired at the beginning of the year at a cost of $662,500. The equipment...
Equipment was acquired at the beginning of the year at a cost of $662,500. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of 9 years and an estimated residual value of $48,430. A. What was the depreciation for the first year? Round your intermediate calculations to 4 decimal places. Round the depreciation for the year to the nearest whole dollar. B. Assuming that the equipment was sold at the end of the second year...
Equipment was acquired at the beginning of the year at a cost of $537,500. The equipment...
Equipment was acquired at the beginning of the year at a cost of $537,500. The equipment was depreciated using the straight-line method based on an estimated useful life of 9 years and an estimated residual value of $47,975. a. What was the depreciation for the first year? Round your answer to the nearest cent. $ b. Using the rounded amount from Part a in your computation, determine the gain(loss) on the sale of the equipment, assuming it was sold at...
Sale of Equipment Equipment was acquired at the beginning of the year at a cost of...
Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $537,500. The equipment was depreciated using the straight-line method based on an estimated useful life of 9 years and an estimated residual value of $45,545. a. What was the depreciation for the first year? Round your answer to the nearest cent. $ b. Using the rounded amount from Part a in your computation, determine the gain(loss) on the sale of the equipment, assuming it...
Equipment acquired on January 8 at a cost of $144,930 has an estimated useful life of...
Equipment acquired on January 8 at a cost of $144,930 has an estimated useful life of 14 years, has an estimated residual value of $8,850, 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 $98,290, journalize the entries to record (1) depreciation for the three months until the sale...
Equipment was acquired at the beginning of the year at a cost of $79,500. The equipment...
Equipment was acquired at the beginning of the year at a cost of $79,500. The equipment was depreciated using the straight-line method based upon an estimated useful life of 6 years and an estimated residual value of $7,500. a. What was the depreciation expense for the first year? $ b. Assuming the equipment was sold at the end of the second year for $59,900, determine the gain or loss on sale of the equipment. $   c. Journalize the entry to...
Equipment acquired on January 8, 2013, at a cost of $113,950, has an estimated useful life...
Equipment acquired on January 8, 2013, at a cost of $113,950, has an estimated useful life of 12 years, has an estimated residual value of $7,150, and is depreciated by the straight-line method. Required: A. What was the book value of the equipment at December 31, 2016, the end of the year? B. Assuming that the equipment was sold on July 1, 2017, for $67,430, journalize the entries to record (1) depreciation for the six months until the sale date,...
10/2 Sale of Equipment Equipment was acquired at the beginning of the year at a cost...
10/2 Sale of Equipment Equipment was acquired at the beginning of the year at a cost of $600,000. The equipment was depreciated using the straight-line method based on an estimated useful life of 9 years and an estimated residual value of $48,150. a. What was the depreciation for the first year? Round your answer to the nearest cent. $ b. Using the rounded amount from Part a in your computation, determine the gain(loss) on the sale of the equipment, assuming...
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $141,540,...
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $141,540, has an estimated useful life of 16 years, has an estimated residual value of $8,900, 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 99,442. 1. Journalize the entry to record depreciation...
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $174,340,...
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $174,340, has an estimated useful life of 17 years, has an estimated residual value of $9,950, 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 127,727. 1. Journalize the entry to record depreciation...
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $105,310,...
Entries for Sale of Fixed Asset Equipment acquired on January 8 at a cost of $105,310, has an estimated useful life of 12 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? $ 72,590 b. Assuming that the equipment was sold on April 1 of the fifth year for 63,680. 1. Journalize the entry to record...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT