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Question 2 On February 1, 2022, Jackson Company purchased a truck, a machine, and a small office building for $180,000. On the date of purchase, the market values of the three assets were: Truck ...... Machine .. Building .... Market Value $65,800 $37,600 $84,600 The truck, which will be depreciated using the units of production method, was assigned a $7,000 residual value and is expected to be driven a total of 80,000 miles over its useful life. The depreciation expense...
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Ivanhoe Company purchased a delivery truck for $40,000 on July 1, 2022. The truck has an expected salvage value of $10,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 15,000 in 2022 and 12,000 in 2023. Ivanhoe uses the straight-line method of depreciation. Your answer is partially correct. Compute depreciation expense for 2022 and 2023. Depreciation Expense 2022 2023 Straight-line method $ $ 3750 3750
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Sunland Company purchased a delivery truck for $44,000 on July 1, 2022. The truck has an expected salvage value of $6,000, and is expected to be driven 100,000 miles aver its estimated useful life af 8 years. Actual miles driven were 15,000 in 2022 and 12,000 in 2023. Sunland uses the straight-line method af depreciation. Compute depreciation expense for 2022 and 2023. Depreciation Expense 2022 2023 Straight-line methods Prepare the journal entry to record 2022 depreciation. (Credit account titles are...
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Exercise 9-06
Blossom Company purchased a delivery truck for $32,000 on July
1, 2022. The truck has an expected salvage value of $4,000, and is
expected to be driven 100,000 miles over its estimated useful life
of 8 years. Actual miles driven were 15,000 in 2022 and 12,000 in
2023. Blossom uses the straight-line method of depreciation.
We were unable to transcribe this imageWe were unable to transcribe this imageExercise 9-06 Blossom Company purchased a delivery truck for $32,000 on...
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I'm not sure with my answer
XYZ Company purchased a new piece of equipment on January 1, 2022. The following information relates to the equipment purchased: Purchase price.... Residual value.. Life ....... . 8 years Using the straight-line depreciation method, the equipment's book value at December 31, 2025 would be $82,700. Using the double-declining balance depreciation method, the depreciation expense recorded on the equipment in 2023 would be $30,000. Calculate the residual value assigned to this piece of equipment. 5,400
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I'm not sure with my answer
On January 1, 2021, ABC company purchased a piece of machinery for $80,000. The machine had an estimated useful life of 10 years and a $5,000 residual value. On January 1, 2025, ABC Company determined the life of the machine should be revised from 10 years to 20 years and the residual value adjusted to $1,000 at the end of the twenty years. Assume ABC Company depreciates its assets using the double declining balance...
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I'm not sure with my answer
On January 1, 2021. AB Company purchased a piece of machinery for $80,000. The machine had an estimated useful life of 10 years and a $5,000 residual value. On January 1, 2025, ABC Company determined the life of the machine should be revised from 10 years to 20 years and the residual value adjusted to $1,000 at the end of the twenty years. Assume ABC Company depreciates its assets using the double declining balance...
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I'm not sure with my answer(or not sure with what the
estimated useful years in the formula will change, I thought it
should be 16 after the change but someone disagreed with me)
On January 1, 2021, ABC company purchased a piece of machinery for $80,000. The machine had an estimated useful life of 10 years and a $5,000 residual value. On January 1, 2025, ABC Company determined the life of the machine should be revised from 10 years to...
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Question One: 30 marks Jefry's Boss purchased a small delivery truck on January 1, 2020. Cost $55,000 Expected residual value $4,000 Estimated useful life in years 5 years Estimated useful life in miles 100,000 miles Instructions: Prepare the deprecation schedule using: 1- Straight line method 2- Double Declining method 1- Straight Line (15 marks) Year Depreciable Cost Annual Expense Book Value Accumulated Depreciation 2020 2021 2022 2023 2024 2- Double Declining Method ( 15 marks) Year Depreciable Cost Annual Expense...
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On July 1, 20X1, ZipCo, which uses UOP depreciation, purchases for $36,000 a truck with an estimated useful life of 60,000 miles and a residual value of $6,000. Miles driven are as follows: Year 20x1 20X2 20x3 20x4 20x5 Miles 5,000 10,000 20,000 25,000 30,000 The book value of the truck on December 31, 20X3 is: Your company uses the DDB method. Assets purchased between the 1st and 15th are depreciated for the entire month; assets purchased after the 15th...
Question 2 On February 1, 2022, Jackson Company purchased a truck, a machine, and a small office building for $180,000. On the date of purchase, the market values of the three assets were: Truck ...... Machine .. Building .... Market Value $65,800 $37,600 $84,600 The truck, which will be depreciated using the units of production method, was assigned a $7,000 residual value and is expected to be driven a total of 80,000 miles over its useful life. The depreciation expense...
Ivanhoe Company purchased a delivery truck for $40,000 on July 1, 2022. The truck has an expected salvage value of $10,000, and is expected to be driven 100,000 miles over its estimated useful life of 8 years. Actual miles driven were 15,000 in 2022 and 12,000 in 2023. Ivanhoe uses the straight-line method of depreciation. Your answer is partially correct. Compute depreciation expense for 2022 and 2023. Depreciation Expense 2022 2023 Straight-line method $ $ 3750 3750
Sunland Company purchased a delivery truck for $44,000 on July 1, 2022. The truck has an expected salvage value of $6,000, and is expected to be driven 100,000 miles aver its estimated useful life af 8 years. Actual miles driven were 15,000 in 2022 and 12,000 in 2023. Sunland uses the straight-line method af depreciation. Compute depreciation expense for 2022 and 2023. Depreciation Expense 2022 2023 Straight-line methods Prepare the journal entry to record 2022 depreciation. (Credit account titles are...
Exercise 9-06
Blossom Company purchased a delivery truck for $32,000 on July
1, 2022. The truck has an expected salvage value of $4,000, and is
expected to be driven 100,000 miles over its estimated useful life
of 8 years. Actual miles driven were 15,000 in 2022 and 12,000 in
2023. Blossom uses the straight-line method of depreciation.
We were unable to transcribe this imageWe were unable to transcribe this imageExercise 9-06 Blossom Company purchased a delivery truck for $32,000 on...
I'm not sure with my answer
XYZ Company purchased a new piece of equipment on January 1, 2022. The following information relates to the equipment purchased: Purchase price.... Residual value.. Life ....... . 8 years Using the straight-line depreciation method, the equipment's book value at December 31, 2025 would be $82,700. Using the double-declining balance depreciation method, the depreciation expense recorded on the equipment in 2023 would be $30,000. Calculate the residual value assigned to this piece of equipment. 5,400
I'm not sure with my answer
On January 1, 2021, ABC company purchased a piece of machinery for $80,000. The machine had an estimated useful life of 10 years and a $5,000 residual value. On January 1, 2025, ABC Company determined the life of the machine should be revised from 10 years to 20 years and the residual value adjusted to $1,000 at the end of the twenty years. Assume ABC Company depreciates its assets using the double declining balance...
I'm not sure with my answer
On January 1, 2021. AB Company purchased a piece of machinery for $80,000. The machine had an estimated useful life of 10 years and a $5,000 residual value. On January 1, 2025, ABC Company determined the life of the machine should be revised from 10 years to 20 years and the residual value adjusted to $1,000 at the end of the twenty years. Assume ABC Company depreciates its assets using the double declining balance...
I'm not sure with my answer(or not sure with what the
estimated useful years in the formula will change, I thought it
should be 16 after the change but someone disagreed with me)
On January 1, 2021, ABC company purchased a piece of machinery for $80,000. The machine had an estimated useful life of 10 years and a $5,000 residual value. On January 1, 2025, ABC Company determined the life of the machine should be revised from 10 years to...
Question One: 30 marks Jefry's Boss purchased a small delivery truck on January 1, 2020. Cost $55,000 Expected residual value $4,000 Estimated useful life in years 5 years Estimated useful life in miles 100,000 miles Instructions: Prepare the deprecation schedule using: 1- Straight line method 2- Double Declining method 1- Straight Line (15 marks) Year Depreciable Cost Annual Expense Book Value Accumulated Depreciation 2020 2021 2022 2023 2024 2- Double Declining Method ( 15 marks) Year Depreciable Cost Annual Expense...
On July 1, 20X1, ZipCo, which uses UOP depreciation, purchases for $36,000 a truck with an estimated useful life of 60,000 miles and a residual value of $6,000. Miles driven are as follows: Year 20x1 20X2 20x3 20x4 20x5 Miles 5,000 10,000 20,000 25,000 30,000 The book value of the truck on December 31, 20X3 is: Your company uses the DDB method. Assets purchased between the 1st and 15th are depreciated for the entire month; assets purchased after the 15th...