Question: If Ivanhoe, Inc. uses the composite method and its composite rate is 7.0% per year, what journal entry should the company record when plant assets

If Ivanhoe, Inc. uses the composite method and its composite rate is 7.0% per year, what journal entry should the company record when plant assets that originally cost $113000 and have been used for 10 years are sold for $39000?

1)

Cash

39000

Plant Assets

39000

2)

Cash

39000

Accumulated Depreciation - Plant Assets

74000

Plant Assets

113000

3)

Cash

39000

Loss on Sale of Plant Assets

74000

Plant Assets

113000

4)

Cash

39000

Accumulated Depreciation - Plant Assets

79100

Plant Assets

113000
Gain on Sale of Plant Assets

5100

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

Labor, Inc. uses the composite method and its composite rate is 7.5 per year. The plant assets originally cost $120,000 and have been used for 10 years are sold for $36.000 in 2020 The journal entry...

Q:

Question 37 (3 points) If Labor, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $120,000 and have been used...

Q:

re updated Question 3 of 5 ume View Policies Current Attempt in Progress i Sarasota, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant...

Q:

. If Remmers, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $50,000 and have been used for 10 years are sold...

Q:

. If Remmers, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $50,000 and have been used for 10 years are sold...

Q:

. If Remmers, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $50,000 and have been used for 10 years are sold...

Q:

If Remmers, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $50,000 and have been used for 10 years are sold...

Q:

22.1f Labor, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $120,000 and have been used for 10 years are sold...

Q:

22.If Labor, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $120,000 and have been used for 10 years are sold...

Q:

If Labor, Inc. uses the composite method and its composite rate is 7.5% per year, what entry should it make when plant assets that originally cost $80,000 and have been used for 10 years are sold for...

Q:

(1) Stevens Inc. has an annual usage of 100 units of Item M, having a purchase price of $55 per unit. The following data are applicable to Item M: Ordering cost...

Q:

If you buy a lottery ticket in 50 lotteries, in each of which your chance of winning a prize is 1/100, what is the (approximate) probability that you will win a prize (a) At least once? (b) Exactly...

Q:

In Example 4.10 on page 165, suppose that the probability that the test will return a false positive (that is, the medical diagnostic test gives a positive result when the disease is not present) is...

Q:

Which approach to ethical reasoning has as one of its central tenets that happiness is defined as presence of pleasure and absence of pain? Multiple Choice

Q:

Explain the characteristics of an effective appraisal system.

Q:

Describe the various performance appraisal methods.

Q:

Define performance appraisal.