Terry Wade, the new controller of Bramble Company, has reviewed the expected useful lives and salvage...

 

Transcribed Image Text:

Terry Wade, the new controller of Bramble Company, has reviewed the expected useful lives and salvage values of selected depreciable assets at the beginning of 2020. His findings are as follows. Accumulated Eeful life Date Depreciation in Years Salvage Value Type of Asset Acquired Old Proposed Cost 1/20 Old Proposed Building 1/1/14 $824,000 $117,600 40 s0 $40,000 $64,000 Warehouse 1/1/15 107,000 20,540 25 20 4,300 12,960 All assets are depreciated by the straight-line method. Bramble Company uses a calendar year in preparing annual financial statements. After discussion, management has agreed to accept Terry's proposed changes. Compute the revised annual depreciation on each asset in 2020. Building Warehouse Revised annual depreciation LINK TO TEXT VIDEO: SIMILAR EXERCISE Prepare the entry to record depreciation on the building in 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Tides and Explanation Debit Credit Dec. 31 Click if you would like to Show Work for this question: Open Show Work LINK TO TEKT VIDEO: SIMILAR EXERCISE Terry Wade, the new controller of Bramble Company, has reviewed the expected useful lives and salvage values of selected depreciable assets at the beginning of 2020. His findings are as follows. Accumulated Eeful life Date Depreciation in Years Salvage Value Type of Asset Acquired Old Proposed Cost 1/20 Old Proposed Building 1/1/14 $824,000 $117,600 40 s0 $40,000 $64,000 Warehouse 1/1/15 107,000 20,540 25 20 4,300 12,960 All assets are depreciated by the straight-line method. Bramble Company uses a calendar year in preparing annual financial statements. After discussion, management has agreed to accept Terry's proposed changes. Compute the revised annual depreciation on each asset in 2020. Building Warehouse Revised annual depreciation LINK TO TEXT VIDEO: SIMILAR EXERCISE Prepare the entry to record depreciation on the building in 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Tides and Explanation Debit Credit Dec. 31 Click if you would like to Show Work for this question: Open Show Work LINK TO TEKT VIDEO: SIMILAR EXERCISE

Answer rating: 100% (QA)

ans if change in usefull life scrapvalue the depreciation is ca... View the full answer