Equipment purchased for $80,000 on January 1, 2015, was sold on July 1, 2018. The company uses
Question:
Equipment purchased for $80,000 on January 1, 2015, was sold on July 1, 2018. The company uses the straightminus−line method of computing depreciation and recognizes $15,000 of depreciation expense annually. When recording the sale, the company should record a debit to Accumulated Depreciation for:
A.$0.
B.$52,500.
C.$60,000.
D.$45,000.
On January 2, 2017, Kornis Corporation acquired equipment for $800,000. The estimated life of the equipment is 5 years or 100,000 hours. The estimated residual value is $30,000. What is the balance in Accumulated Depreciation on December 31, 2017, if Kornis Corporation uses the double−declining−balance method of depreciation?
A.$308,000
B.$154,000
C.$320,000
D.$160,000
Advanced Accounting
ISBN: 978-1305084858
12th edition
Authors: Paul M. Fischer, William J. Tayler, Rita H. Cheng