At the beginning of the current year, Andy Company has equipment that originally cost $ 50,000, has $ 35,000 accumulated depreciation, and is being depreciated at $ 5,000 per year. Andy sells this equipment for $ 12,000 at the end of the current year. Prepare journal entries to record both the current year’s depreciation and the disposal of the equipment.
Answer to relevant QuestionsAuburn Company purchased an asset on January 1, Year 1, for $ 150,000. The asset has a MACRS life of 7 years. The residual value of the asset is $ 35,000. Calculate the depreciation expense for Year 1 and Year 2 using MACRS. Asset Retirement Obligation On January 1, 2016, Barbosa Company purchased a coal mining site for $1,000,000. Under the terms of the purchase agreement, Barbosa must restore the site to specified conditions at an estimated ...On january 1, 2015, Emming Corporation purchased some machinery, The machinery has an estimated life of 10 years and an estimated residual value of $5,000. The depreciation expense on this machinery was $20,000 in ...Information for Blake Corporation’s property, plant, and equipment for 2016 is: Depreciation Method and Useful Life Building: 150%- declining- balance; 25 years. Machinery and equipment: Straight- line; 10 ...Select the best answer for each of the following. 1. What is the proper time or time period over LO 12.1 which to amortize an intangible asset if there is no forseable limit on the period of time over which the intangible ...
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