Bridge City Consulting bought a building and the land on which it is located for $155,000...

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Bridge City Consulting bought a building and the land on which it is located for $155,000 cash. The land is estimated to represent 70 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use. 3. Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10-year useful life and a $16,500 estimated residual value. (Do not round Intermediate calculations.) 4. What should be the book value of (a) the land and (b) the building at the end of year 2? 3 Straight-Line Depreciation 4(a) Land 4(b) Building Ly Company disposed of two different assets. On January 1, prior to their disposal, the accounts reflected the following: Asset Machine A Machine B Original Cost $33,000 62,200 The machines were disposed of in the following ways: View transaction list Residual Value $3,300 3,400 1 a. Machine A: Sold on January 1 for $9,100 cash. b. Machine B: On January 1, this machine was sold to a salvage company at zero proceeds (and zero cost of removal). Estimated Life 6 years 15 years Required: 1. & 2. Prepare the journal entries related to the disposal of Machine A and B at the beginning of the current year. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) Journal entry worksheet < 2 3 4 Note: Enter debits before credits. Date January 01 Record entry Record the current year depreciation for Machine A prior to disposal. Accumulated Depreciation (straight- line) $24,750 (5 years) 47,040 (12 years) General Journal Clear entry Debit Credit View general journal Bridge City Consulting bought a building and the land on which it is located for $155,000 cash. The land is estimated to represent 70 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use. 3. Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10-year useful life and a $16,500 estimated residual value. (Do not round Intermediate calculations.) 4. What should be the book value of (a) the land and (b) the building at the end of year 2? 3 Straight-Line Depreciation 4(a) Land 4(b) Building Ly Company disposed of two different assets. On January 1, prior to their disposal, the accounts reflected the following: Asset Machine A Machine B Original Cost $33,000 62,200 The machines were disposed of in the following ways: View transaction list Residual Value $3,300 3,400 1 a. Machine A: Sold on January 1 for $9,100 cash. b. Machine B: On January 1, this machine was sold to a salvage company at zero proceeds (and zero cost of removal). Estimated Life 6 years 15 years Required: 1. & 2. Prepare the journal entries related to the disposal of Machine A and B at the beginning of the current year. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) Journal entry worksheet < 2 3 4 Note: Enter debits before credits. Date January 01 Record entry Record the current year depreciation for Machine A prior to disposal. Accumulated Depreciation (straight- line) $24,750 (5 years) 47,040 (12 years) General Journal Clear entry Debit Credit View general journal

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