Disposal of Fixed Asset Equipment acquired on January 6 at a cost of $260,800 has an...
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Disposal of Fixed Asset Equipment acquired on January 6 at a cost of $260,800 has an estimated useful life of 7 years and an estimated residual value of $34,000. a. What was the annual amount of depreciation for Years 1-3 using the straight-line method of depreciation? Year Depreciation Expense Year 1 32,400 Year 2 32,400 Year 3 32,400 b. What was the book value of the equipment on January 1 of Year 4? c. Assuming that the equipment was sold on January 3 of Yest 4 for $155,400, Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. d. Assuming that the equipment had been sold on January 3 of Year 4 for $166,900 instead of $155,400, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. Disposal of Fixed Asset Equipment acquired on January 6 at a cost of $260,800 has an estimated useful life of 7 years and an estimated residual value of $34,000. a. What was the annual amount of depreciation for Years 1-3 using the straight-line method of depreciation? Year Depreciation Expense Year 1 32,400 Year 2 32,400 Year 3 32,400 b. What was the book value of the equipment on January 1 of Year 4? c. Assuming that the equipment was sold on January 3 of Yest 4 for $155,400, Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. d. Assuming that the equipment had been sold on January 3 of Year 4 for $166,900 instead of $155,400, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.
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Related Book For
Accounting
ISBN: 978-1337899451
27th edition
Authors: Carl S. Warren, James M. Reeve, Jonathan Duchac
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