Please, only answer if you have the CORRECT ANSWER to the question. if your answer is wrong
Question:
Please, only answer if you have the CORRECT ANSWER to the question. if your answer is wrong or irrelevant, I will REPORT it to Chegg and leave a thumb down. So please, check your answer before posting it!
Machinery that cost $204,000 on 1 January 20X1 was sold for $81,000 on 30 June 20X6. It was being depreciated over a 10-year life by the straight-line method, assuming its residual value would be $18,000.
A building that cost $1,820,000, residual value $112,000, was being depreciated over 20 years by the straight-line method. At the beginning of 20X6, when the structure was 8 years old, an additional wing component was constructed at a cost of $590,000. The estimated life of the wing considered separately was 15 years, and its residual value was expected to be $29,000.
The accounting period ends 31 December.
Required:
- Give all required entries to record: a. Sale of the equipment, including depreciation to the date of sale. b. The addition to the buildingcash was paid. c. Depreciation on the building and its addition after the latter has been in use for one year. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Do not round intermediate calculations.) Record the depreciation expenses (Equipment). Record the sale of equipment. Record the addition on building. Record the depreciation expenses (Building Wing). Record the depreciation expenses (Building).
- Complete the part of the balance sheet given below showing how the building and attached wing would be reported
Building | ||
Add/Less Accumulated depreciation | $ | |
Building, Wing addition | ||
Add/Less Accumulated depreciation | ||
Total | $ |