At December 31, 2023, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
At December 31, 2023, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows: Accumulated Depreciation and Category Land Land improvements Buildings Equipment Automobiles and trucks Leasehold improvements Plant Asset $ 172,000 Amortization $ - 1,350,000 295,989 975,000 314,500 169,000 97,325 210,000 105,000 Depreciation methods and useful lives: Buildings-150% declining balance; 25 years. Equipment-Straight line; 10 years. Automobiles and trucks-200% declining balance; 5 years, all acquired after 2020. Leasehold improvements-Straight line. Land improvements-Straight line. Depreciation is computed to the nearest month and residual values are immaterial. Transactions during 2024 and other information: a. On January 6, 2024, a plant facility consisting of land and building was acquired from King Corporation in exchange for 22,000 shares of Cord's common stock. On this date, Cord's stock had a fair value of $60 a share. Current assessed values of land and building for property tax purposes are $216,000 and $504,000, respectively. b. On March 25, 2024, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $174,000. These expenditures had an estimated useful life of 12 years. c. The leasehold improvements were completed on December 31, 2020, and had an estimated useful life of eight years. The related lease, which would terminate on December 31, 2026, was renewable for an additional four-year term. On April 30, 2024, Cord exercised the renewal option. d. On July 1, 2024, equipment was purchased at a total invoice cost of $322,000. Additional costs of $11,000 for delivery and $47,000 for installation were incurred. e. On September 30, 2024, Cord purchased a new automobile for $12,200. f. On September 30, 2024, a truck with a cost of $23,700 and a book value of $8,600 on date of sale was sold for $11,200. Depreciation for the nine months ended September 30, 2024, was $1,935. g. On December 20, 2024, equipment with a cost of $15,500 and a book value of $2,900 at date of disposition was scrapped without cash recovery. Required: 1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2024. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. CORD COMPANY Analysis of Changes in Plant Assets For the Year Ending December 31, 2024 Balance 12/31/2023 Increase Decrease Balance 12/31/2024 Land $ 172,000 Land improvements 0 Buildings 1,350,000 Equipment 975,000 Automobiles and trucks 169,000 Leasehold improvements 210,000 $ 2,876,000 $ 0 $ 0 $ 0 < Required 1 Required 2 > Required: 1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2024. Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2024. Note: Do not round intermediate calculations. Round your final answers to nearest whole dollar. CORD COMPANY Depreciation and Amortization Expense For the Year Ending December 31, 2024 Land Improvements Buildings Equipment Automobiles and trucks Leasehold improvements Total depreciation and amortization expense for 2024 $ 0 < Required 1 Required 2 > At December 31, 2023, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows: Accumulated Depreciation and Category Land Land improvements Buildings Equipment Automobiles and trucks Leasehold improvements Plant Asset $ 172,000 Amortization $ - 1,350,000 295,989 975,000 314,500 169,000 97,325 210,000 105,000 Depreciation methods and useful lives: Buildings-150% declining balance; 25 years. Equipment-Straight line; 10 years. Automobiles and trucks-200% declining balance; 5 years, all acquired after 2020. Leasehold improvements-Straight line. Land improvements-Straight line. Depreciation is computed to the nearest month and residual values are immaterial. Transactions during 2024 and other information: a. On January 6, 2024, a plant facility consisting of land and building was acquired from King Corporation in exchange for 22,000 shares of Cord's common stock. On this date, Cord's stock had a fair value of $60 a share. Current assessed values of land and building for property tax purposes are $216,000 and $504,000, respectively. b. On March 25, 2024, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $174,000. These expenditures had an estimated useful life of 12 years. c. The leasehold improvements were completed on December 31, 2020, and had an estimated useful life of eight years. The related lease, which would terminate on December 31, 2026, was renewable for an additional four-year term. On April 30, 2024, Cord exercised the renewal option. d. On July 1, 2024, equipment was purchased at a total invoice cost of $322,000. Additional costs of $11,000 for delivery and $47,000 for installation were incurred. e. On September 30, 2024, Cord purchased a new automobile for $12,200. f. On September 30, 2024, a truck with a cost of $23,700 and a book value of $8,600 on date of sale was sold for $11,200. Depreciation for the nine months ended September 30, 2024, was $1,935. g. On December 20, 2024, equipment with a cost of $15,500 and a book value of $2,900 at date of disposition was scrapped without cash recovery. Required: 1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2024. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. CORD COMPANY Analysis of Changes in Plant Assets For the Year Ending December 31, 2024 Balance 12/31/2023 Increase Decrease Balance 12/31/2024 Land $ 172,000 Land improvements 0 Buildings 1,350,000 Equipment 975,000 Automobiles and trucks 169,000 Leasehold improvements 210,000 $ 2,876,000 $ 0 $ 0 $ 0 < Required 1 Required 2 > Required: 1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2024. Complete this question by entering your answers in the tabs below. Required 1 Required 2 For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2024. Note: Do not round intermediate calculations. Round your final answers to nearest whole dollar. CORD COMPANY Depreciation and Amortization Expense For the Year Ending December 31, 2024 Land Improvements Buildings Equipment Automobiles and trucks Leasehold improvements Total depreciation and amortization expense for 2024 $ 0 < Required 1 Required 2 >
Expert Answer:
Posted Date:
Students also viewed these accounting questions
-
what is the name of Dc output symbol on eagle in this circuit? XL2 EE20 core Flyback Transformer 4 SCHOTTKY [ 3 D4 SB160 IC2 EL817 OPTOCOUPLER thS 1 2 C2 470uF 25V R3 Tko ZD1 12V/1W DC Output 12V,...
-
On January 1, 2008, Doug Nelson Co. leased a building to Patrick Wise Inc. The relevant information related to the lease is as follows. 1. The lease arrangement is for 10 years. 2. The leased...
-
Suppose that a city planning commission wants to know the proportion of city residents who support installing streetlights in the downtown area. Two different people independently selected random...
-
Free cash flow is a measure of a firm's a. interest free debt. b. ability to generate net income. c. ability to generate cash and invest in new capital expenditures. d. ability to collect accounts...
-
1. What do you think was the motivation for Cubbies Cable in taking the position to expense all cable costs during the year ended September 20, 2013? Would you characterize the position as an attempt...
-
Topic : New direction for Critical leadership studies. 1. little summary of the article 2. The authors 3. The purpose of the article 4. The methodology used 5. The major findings/points 6. The major...
-
ABC Corporation produces and sells a single product. The company has fixed expenses of $500,000 per year, a selling price per unit of $50, and variable expenses per unit of $25. The company's...
-
2. A second tract of land (site number 622) with a building was acquired for $300,000. The closing statement indicated that the land value was $200,000 and the building value was $100,000. Shortly...
-
Some 11,700 Irish customers have been left waiting for goods ordered from Ikea as the furniture giant experiences supply chain issues. The Irish Times reports that the retailer has blamed Brexit and...
-
11. The cell organelle responsible for the packaging of proteins is the a. ribosome. b. Golgi complex. c. rER. d. lysosome. . 12. Which of the following cell organelles contain digestive enzymes? a....
-
Facts of your case: Your office represents Georgina Olivier-Mata in a case against Bank of America. The case has not been filed yet for "sexual harassment". Your employer, Attorney Tina Fey, has been...
-
12) Multiply on a clock: 54 13) Compute 37 mod 7
-
Can you make a database out of this called Escrap in MySQL Category Team Term Metal Type Material Definition Price/LB Source Of Truth Notes Whole Units GUI Gang PC Towers - Complete Gold Metal...
-
Use nodal analysis to determine voltages v1, v2, and v3 in the circuit Fig. 3.76. Figure 3.76 4 S 3i, 2 A 4A
-
Lathrop Co. makes a variety of products from a joint process. The joint cost per batch run is \(\$ 55,000\) and each batch produces the following products: How would you classify each product (joint,...
-
Oliver Inc. makes three types of olive oil that can be sold at split-off or processed further and then sold. The joint cost for October is \(\$ 325,000\). The number of ounces in a bottle of each...
-
Potato skins are generated as a by-product in making potato chips and frozen hash browns at Fit Food. The skins are sold to restaurants for use in appetizers. Processing and disposal costs associated...
Study smarter with the SolutionInn App