Question: Browns Salvage Company purchased a computer for $2,600, debiting Computer equipment. During 2012 and 2013, Browns Salvage Company recorded total depreciation of $2,000 on the

Brown’s Salvage Company purchased a computer for $2,600, debiting Computer equipment. During 2012 and 2013, Brown’s Salvage Company recorded total depreciation of $2,000 on the computer. On January 1, 2014, Brown’s Salvage Company traded in the computer for a new one, paying $2,500 cash. The fair value of the new computer is $3,100.
Requirement
1. Journalize Brown’s Salvage Company’s exchange of computers.

Step by Step Solution

★★★★★

3.40 Rating (162 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

Req 1 Journal Entry DATE ACCOUNTS AN... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

69-B-A-I-A (981).docx

120 KBs Word File

Students Have Also Explored These Related Accounting Questions!

On January 12, 2016, Washington Company purchased a computer (cost, $13,000; expected life five years; estimated salvage value , $1,500) and a lightweight van for delivery purposes (cost, $65,500;...

On January 6, 2016, Mayfield Company purchased a computer (cost, $20,000; expected life, four years; estimated salvage value , $4,000) and an eight-passenger van (cost, $38,000; estimated life, eight...

The Acme Management Corporation purchased a computer for $5,400. Its life expectancy is projected to be four years, and the salvage value will be $800. Make a straight-line depreciation schedule like...

S10A-15 Exchanging plant assets Browns Salvage Company purchased a computer for $2,600, debiting Computer Equipment. During 2012 and 2013, Browns Salvage Company recorded total depreciation of $2,000...

Brown's Salvage Company purchased a computer for $2,600, debiting Computer Equipment. During 2016 and 2017 Brown's Salvage Company recorded total depreciation of $1,700 on the computer. On January 1,...

Brown's Salvage Company purchased a computer for \ ( \ $ 3 , 7 0 0 \ ) , debiting Computer Equipment. During 2 0 2 3 and 2 0 2 4 , Brown's Salvage Company recorded total depreciation of \ ( \ $ 1 , 4...

Brown's Salvage Company purchased a computer for $3,100 debiting Computer Equipment. Diring 2016 and 2017, Borwn's Salvage Company recored total depreciation of $2,200 on the computer. On January 1,...

Exchanging plant assets Browns Salvage Corporation purchased a computer for $2,600, debiting Computer Equipment. During 2012 and 2013, Browns Salvage recorded total depreciation of $2,000 on the...

Browns Salvage Corporation purchased a computer for $ 2,600, debiting Computer Equipment. During 2012 and 2013, Browns Salvage recorded total depreciation of $ 2,000 on the computer. On January 1,...

Can someone please provide me with answers to this case study please. Thank You! All relevant information is attached. rev. 5/27/16 Pennsylvania\tState\tUniversity...

The Federal Reserve maintains a Web site that lists the exchange rates between the U.S. dollar and many other currencies. . Go to the historical data from 2000 and later and find the euro. a. What...

For a JFET having gm = 6 mS at VGSQ = -1 V, what is the value of IDSS if VP = -2.5 V?

how does the cvent supplier network play a vital role

At January 1, 2016, Hilly Mountain Flagpoles had Accounts Receivable of $31,000, and Allowance for Bad Debts had a credit balance of $3,000. During the year, Hilly Mountain Flagpoles recorded the...

1. Complete Form 940, the Employer's Annual Federal Unemployment Tax Return. Assume that all wages have been paid and that all quarterly payments have been submitted to the state as required. The...

1. As completely as possible, sketch the value delivery network for Apple Pay. 2. With respect to Apple Pay, is Apple a producer, a consumer, or an intermediary? Explain. 3. Identify all the reasons...

Marathon Running Shoes reports the following: 2016 Feb. 4 Recorded credit card sales of $96,000, net of processor fee of 1 %. Ignore Cost of Goods Sold. Sep. 1 Loaned $23,000 to Jess Prichett, an...

On June 28, a salesperson for Renowned Books called on the Gonchars at their home. After a very persuasive sales pitch by the agent, the Gonchars agreed in writing to purchase a twenty-volume set of...

4.97 Education and income. Call a household prosperous if its income exceeds $100,000. Call the household educated if the householder completed college. Select an American household at random and let...

The Committee of Sponsoring Organizations of the Treadway Commission (COSO) discussed five elements of internal control. Required: Define and discuss these five elements of internal control.

Firebird Corp. prepares monthly bank reconciliations of its checking account balance. The bank statement for May 2009 indicated the following: Balance, May 31, 2009 ................$29,700 Service...

Pyramid Corporation is assessed a $25 fee as the result of a $62 NSF check. Neither the fee nor the NSF check has been accounted for on Pyramids books. Required: Record the appropriate journal entry...

Choose within the option of Match the following explanations with the term for a chocolate shop: Depreciation on the chocolate tempering machine to melt the chocolate Marketing costs Rent expense on...

PART 2: FINANCE a) What is the most that you would pay for an investment that promises to pay $20,258.00 a year forever with the first payment starting one year from now? Assume that your required...

A researcher has determined that a two-factor model is appropriate to determine the return on a stock. The factors are the percentage change in GNP and an interest rate. GNP is expected to grow by...