Equipment acquired on January 3, 2005, at a cost of $147,500, has an estimated useful life of
Question:
a. What was the annual amount of depreciation for the years 2005, 2006, and 2007, using the straight-line method of depreciation?
b. What was the book value of the equipment on January 1, 2008?
c. Assuming that the equipment was sold on January 2, 2008, for $95,000, journalize the entry to record the sale.
d. Assuming that the equipment had been sold on January 2, 2008, for $100,000 instead of $95,000, journalize the entry to record the sale.
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Related Book For
Accounting
ISBN: 978-0324401844
22nd Edition
Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac
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