Shown below are the Machinery and Equipment and Delivery Equipment accounts of the KAYA MO YAN...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Shown below are the Machinery and Equipment and Delivery Equipment accounts of the KAYA MO YAN COMPANY. One-half year's depreciation is charged in the year of acquisition and/or disposition for these assets. The client uses the straight-line method of depreciation. The following transactions occurred during 201G: a. A 201G Isuzu Truck was purchased for P1,200,000 in June. In the same month, a 201A Fuso Truck was sold for P150,000. The truck was purchased in April 201C at the cost of P630,000. b. In June, a drill press was purchased for P33,000. Freight-in was P3,000. A drill press purchased by the client in March 201C for P30,000 was sold in June at a gain of P7,000. c. One milling machine was purchased in July at the cost of P225,000. Installation cost, which was paid by the clients and charged to Miscellaneous Expenses, amounted to P10,500. d. While analyzing the Miscellaneous Income Account, your assistant found that the proceeds of P1,500 from the sale of an electric welding machine has been credited to this account. The machine, acquired in March 2018, had a cost of P12,000. The machine was sold in September 2016. Machinery and Equipment 1/1/2016 June July Bal. 450,000 36,000 VR VR 225,000 June CR Accumulated Depreciation - Machinery and Equipment (10% annual rate) 1/1/2016 Bal. 2,850,000 3-Jun VR 1,200,000 Delivery Equipment 1/1/2016 Bal 207,000 30,000 7-Jun CR 150,000 Accumulated Depreciation - Delivery Equipment (20% annual rate) 1/1/2016 Bal 1,650,000 Proceed from the sale of a drill press in June 2016 2. Machinery and Equipment account balance at December 31, 2016 3. Total depreciation expense for the year ended December 31, 2016 4. Carrying value of machinery and equipment at December 31, 201G 5. Accumulated Depreciation - Delivery Equipment at December 31, 2016 Shown below are the Machinery and Equipment and Delivery Equipment accounts of the KAYA MO YAN COMPANY. One-half year's depreciation is charged in the year of acquisition and/or disposition for these assets. The client uses the straight-line method of depreciation. The following transactions occurred during 201G: a. A 201G Isuzu Truck was purchased for P1,200,000 in June. In the same month, a 201A Fuso Truck was sold for P150,000. The truck was purchased in April 201C at the cost of P630,000. b. In June, a drill press was purchased for P33,000. Freight-in was P3,000. A drill press purchased by the client in March 201C for P30,000 was sold in June at a gain of P7,000. c. One milling machine was purchased in July at the cost of P225,000. Installation cost, which was paid by the clients and charged to Miscellaneous Expenses, amounted to P10,500. d. While analyzing the Miscellaneous Income Account, your assistant found that the proceeds of P1,500 from the sale of an electric welding machine has been credited to this account. The machine, acquired in March 2018, had a cost of P12,000. The machine was sold in September 2016. Machinery and Equipment 1/1/2016 June July Bal. 450,000 36,000 VR VR 225,000 June CR Accumulated Depreciation - Machinery and Equipment (10% annual rate) 1/1/2016 Bal. 2,850,000 3-Jun VR 1,200,000 Delivery Equipment 1/1/2016 Bal 207,000 30,000 7-Jun CR 150,000 Accumulated Depreciation - Delivery Equipment (20% annual rate) 1/1/2016 Bal 1,650,000 Proceed from the sale of a drill press in June 2016 2. Machinery and Equipment account balance at December 31, 2016 3. Total depreciation expense for the year ended December 31, 2016 4. Carrying value of machinery and equipment at December 31, 201G 5. Accumulated Depreciation - Delivery Equipment at December 31, 2016
Expert Answer:
Answer rating: 100% (QA)
Here is a revised and organized representation of the accounts and transactions for the KAYA MO YAN ... View the full answer
Related Book For
Financial Reporting Financial Statement Analysis and Valuation a strategic perspective
ISBN: 978-1337614689
9th edition
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Posted Date:
Students also viewed these accounting questions
-
The statement of financial position of Washbud Private University as of the end of its fiscal year, June 30, 2018, is as follows: The following transactions occurred during the fiscal year ended June...
-
The following transactions occurred during 2014. Assume that depreciation of 10% per year is charged on all machinery and 5% per year on buildings, on a straight-line basis, with no estimated...
-
The following transactions occurred during 2017. Assume that depreciation of 10% per year is charged on all machinery and 5% per year on buildings, on a straight-line basis, with no estimated...
-
Some observers maintain that not all politicians move toward the middle of the political spectrum in order to obtain votes. They often cite Barry Goldwater in the 1964 presidential election and...
-
In a photocell, ultraviolet (UV) light provides enough energy to some electrons in barium metal to eject them from a surface at high speed. See Fig. 17-33. To measure the maximum energy of the...
-
Prove that lim x f(x) = lim x0+ f(1/t) and lim x f(x) = lim x0- f(1/t) if these limits exist.
-
What is the main difference between environmental accounting and ecological accounting?
-
Below are transactions for Hurricane Company during 2015. a. On October 1, 2015, Hurricane lends $10,000 to another company. The other company signs a note indicating principal and 8% interest will...
-
II. Given the functions f(x) = x-5 2 g(x) = x+4 h(x) = x Find the functions and their domains. 8) (goh)(x) 9) (hof)(x) 10) (fh)(x) 11) (fog)(x)
-
Kai is the president of Zebra Antiques. An employee, Reese Francis, is due a raise. Reeses current benefit analysis is as follows: Compute the benefit analysis assuming: 3 percent increase in pay. ...
-
The First Chicago Bank is reviewing its service charges and interest-paying policies on checking accounts. The daily balance of a checking account is defined to be the balance in the checking account...
-
Mr Burns' new consulting firm offers insights to clients regarding nuclear power plant. The service fee is $57,000, paid at the start of the year and has 350 clients. The company spends $28,500 on...
-
S c) Describe the average-case performance of the linear search algorithm in Figure 1 in terms of the average number of comparisons used, assuming that the integer x is not in the list. Use step by...
-
You receive an invoice dated September 21, 2009 in the amount of $1500 with terms of 2/15 net 30. If you pay $500 toward the invoice on September 30, what is the amount that is credited and what do...
-
An object moves in a circular motion that is not uniform. The c rclude it describes has a radius of 1 2 meters. The speed of the object is given by in = 3 . 6 + 1 . 5 ???? 2 with in in meters per...
-
Approximate the depth of the water (in ft) in the given tank if the fluid force on the vertical side is one-half as great as when the tank is full. (The weight-density of water is 62.4 pounds per...
-
The second programming project involves writing a program that examines a file of polynomials and determines whether the polynomials in that file are in strictly ascending order using two different...
-
Consider the setup in Problem 16. Show that the relative speed of the ball and the point of contact on the stick is the same before and immediately after the collision. (This result is analogous to...
-
Why do investors typically accept a lower risk-adjusted rate of return on debt capital than equity capital? Suppose a stable, financially healthy, profitable, tax-paying firm that has been financed...
-
Sunbeam Corporation manufactures and sells a variety of small household appliances, including toasters, food processors, and waffle grills. Exhibit 3.21 presents a statement of cash flows for Sunbeam...
-
Montgomery Ward operates a retail department store chain. It filed for bankruptcy during the first quarter of Year 12. Exhibit 3.22 presents a statement of cash flows for Montgomery Ward for Year 7...
-
Explain the limitations that auditors face when they perform the attest function.
-
Indicate whether you think the following third-party groups would normally represent a (1) primary beneficiary, (2) foreseen party, or (3) foreseeable party. Give reasons for your answers. a. A...
-
Use and Dispose Company was organized to manufacture and sell inexpensive golf clubs that can be used during the golf round and then thrown away at the end of the round. In order to keep the business...
Study smarter with the SolutionInn App