Blossom Company shows the following entries in its Equipment account for 2018. All amounts are based on historical costs.

Equipment
2018					2018
Jan. 1		Balance		147,870	June 30		Cost of equipment sold
Aug. 10		Purchases		33,320			(purchased prior to 2018)		25,210
12		Freight on equipment purchased		630
25		Installation costs		2,470
Nov. 10		Repairs		460

Part A: Prepare correcting entries if necessary.

Part B: Assuming that depreciation is to be charged for a full year on the ending balance in the asset account, compute the proper depreciation charge for 2018 under each of the methods listed below. Assume an estimated life of 10 years, with no salvage value. The machinery included in the January 1, 2018, balance was purchased in 2016. (Round answers to 0 decimal places, e.g. 45,892.)

Answer rating: 100% (QA)

A Record correcting entry as follows B Post Date Accounting title and explanation Ref Debit S Credit ... View the full answer