Please see attached, there are 7 accounting problems. Show all work.

E10-6B (Correction of Improper Cost Entries) Plant acquisitions for selected companies are presented below. 1. Protex Inc. acquired land, buildings, and equipment from a bankrupt company, for a lump-sum price of $700,000. At the time of purchase, the assets had the following book and appraisal values. Book Values Land Buildings Equipment Appraisal Values $200,000 450,000 300,000 $300,000 250,000 250,000 To be conservative, the company decided to take the lower of the two values for each asset acquired. The following entry was made. Land Buildings Equipment Cash 2. 700,000 Apple Industries purchased store equipment by making a $10,000 cash down payment and sign- ing a 2-year, $40,000, 8% note payable. The purchase was recorded as follows. Store Equipment Cash Note Payable Interest Payable 3. 200,000 250,000 250,000 56,400 10,000 40,000 6,400 Cherry Company purchased office equipment for $50,000, terms 1/10, n/30. Because the company intended to take the discount, it made no entry until it paid for the acquisition. The entry was: Office Equipment Cash Purchase Discounts 50,000 49,500 500 4. Bubble Inc. recently received at zero cost land from the Village of Wellington as an inducement to locate its business in the Village. The appraised value of the land is $120,000. The company made no entry to record the land because it had no cost basis. 5. Gump Company built a factory for $750,000. It could have purchased the building for $900,000. The controller made the following entry. Warehouse Cash Profit on Construction 900,000 750,000 150,000 Instructions Prepare the entry that should have been made at the date of each acquisition. 5 E10-20B (Nonmonetary Exchange) Dean Inc. has negotiated the purchase of a new piece of automatic equipment at a price of $16,000 plus trade-in, f.o.b. factory. Dean Inc. paid $16,000 cash and traded in used equipment. The used equipment had originally cost $71,000; it had a book value of $32,500 and a secondhand market value of $36,800, as indicated by recent transactions involving similar equipment. Freight and installation charges for the new equipment required a cash payment of $2,500. Instructions (a) Prepare the general journal entry to record this transaction, assuming that the exchange has com- mercial substance. (b) Assuming the same facts as in (a) except that fair value information for the assets exchanged is not determinable. Prepare the general journal entry to record this transaction. During the current year, the following expenditures were made to the plant facility. (a) Because of increased demands for its product, the company increased its plant capacity by build- ing a new addition at a cost of $505,000. (b) The entire factory was repainted at a cost of $8,500. 2Chapter 8 Valuation of Inventories: A Cost-Basis Approach(c) The roof was an asbestos cement slate. For safety purposes it was removed and replaced with a metal shingle roof at a cost of $112,000. Book value of the old roof was $22,000. (d) The plumbing system was completely updated at a cost of $43,500. The cost of the old plumbing system was not known. It is estimated that the useful life of the building will not change as a result of this updating. (e) A series of major repairs were made at a cost of $21,000, because parts of the wood structure were rotting. The cost of the old wood structure was not known. These extensive repairs are estimated to increase the useful life of the building. Instructions Indicate how each of these transactions would be recorded in the accounting records. 6 E10-22B (Analysis of Subsequent Expenditures) The following transactions occurred during 2012. As- sume that depreciation of 10% per year is charged on all machinery and 3% per year on buildings, on a straight-line basis, with no estimated salvage value. Depreciation is charged for a full year on all fixed assets acquired during the year, and no depreciation is charged on fixed assets disposed of during the year. Jan. 30 Mar. 10 Mar. 20 May 18 June 23 A building that cost $250,000 in 1993 is torn down to make room for a new building. The wrecking contractor was paid $18,000 and was permitted to keep all materials salvaged. Machinery that was purchased in 2005 for $20,000 is sold for $1,500 cash, f.o.b. purchaser's plant. Freight of $1,000 is paid on this machinery. A gear breaks on a machine that cost $12,000 in 2007. The gear is replaced at a cost of $750. The replacement does not extend the useful life of the machine. A special base installed for a machine in 2006 when the machine was purchased has to be replaced at a cost of $6,000 because of defective workmanship on the original base. The cost of the machinery was $15,000 in 2006. The cost of the base was $3,000, and this amount was charged to the Machinery account in 2006. One of the buildings is repainted at a cost of $12,000. It had not been painted since it was constructed in 2008. Instructions Prepare general journal entries for the transactions. (Round to the nearest dollar.) P10-1B (Classification of Acquisition and Other Asset Costs) At December 31, 2013, certain accounts included in the property, plant, and equipment section of Seahorse Company's balance sheet had the following balances. Land Buildings Leasehold improvements Equipment $126,000 683,000 501,000 726,000 During 2014, the following transactions occurred. 1. Land (lot 4G) was acquired for $500,000. In addition, to acquire the land Seahorse paid a $30,000 commission to a real estate agent. Costs of $63,000 were incurred to clear and level the land. During the course of clearing the land, timber was recovered and sold for $6,300. 2. A second tract of land (lot 7D) with a building was acquired for $684,000. The closing statement in- dicated that the land value was $560,000 and the building value was $124,000. Shortly after acquisi- tion, the building was demolished at a cost of $23,000. A new building was constructed for $687,000 plus the following costs. Excavation fees Architectural design fees Building permit fee Imputed interest on funds used during construction (stock financing) $43,000 16,600 4,500 11,900 The building was completed and occupied on November 30, 2014. 3. A third tract of land (lot 2K) was acquired for $411,000 and was put on the market for resale. 4. During December 2014, costs of $164,000 were incurred to improve leased office space. The related lease will terminate on December 31, 2016, and is not expected to be renewed. (Hint: Leasehold improvements should be handled in the same manner as land improvements.) 5. A group of new machines was purchased under a royalty agreement that provides for payment of royalties based on units of production for the machines. The invoice price of the machines was $139,000, freight costs were $5,700, installation costs were $2,100, and royalty payments for 2014 were $18,600. Instructions (a) Prepare a detailed analysis of the changes in each of the following balance sheet accounts for 2014. Land Buildings Leasehold improvements Equipment Disregard the related accumulated depreciation accounts. (b) List the items in the situation that were not used to determine the answer to (a) above, and indicate where, or if, these items should be in- cluded in Seahorse's financial statements. E11-6B (Depreciation ComputationsFive Methods, Partial Periods) Scott Company purchased equip- ment for $250,000 on October 1, 2014. It is estimated that the equipment will have a useful life of 8 years and a salvage value of $50,000. Estimated p roduction is 20,000 units and estimated working hours 10,000. During 2014 Scott uses the equipment for 900 hours, and the equipment produces 1,500 units. 3 Instructions Compute depreciation expense under each of the following methods. Scott is on a calendar-year basis ending December 31. (a) (b) (c) (d) (e) 2 3 Straight-line method for 2014. Activity method (units of output) for 2014. Activity method (working hours) for 2014. Sum-of-the-years'-digits method for 2016. Double-declining balance method for 2015. E11-14B (Error Analysis and Depreciation, SL and SYD) Suzuki Company shows the following entries in its Equipment account for 2015. All amounts are based on historical cost. Equipm ent 2015 Jan. 1 Apr. 2 6 Balance Purchases Freight on equipment purchased 10 Installation costs Nov. 12 Repairs 212,000 81,000 2015 Mar. 15 Cost of equipment sold (purchased prior to 2011) 20,000 500 3,000 1,250 (a) Prepare any correcting entries necessary. (b) Assuming that depreciation is to be charged for a full year on the ending balance in the asset account, compute the proper depreciation charge for 2015 under each of the methods listed below. Assume an estimated life of 10 years, with no salvage value. The machinery included in the January 1, 2015, balance was purchased in 2013. 4Chapter 8 Approach 3 Valuation of Inventories: A Cost-Basis (1) (2) Straight-line. Sum-of-the-years'-digits. Pll-2B (Depreciation for Partial PeriodsSL, Act., SYD, and DDB) The cost of equipment purchased by Sharks, Inc., on April 1, 2014, is $120,000. It is estimated that the machine will have a $6,000 salvage value at the end of its service life. Its service life is estimated at 6 years; its total working hours are estimated at 28,500; and its total production is estimated at 380,000 units. During 2014, the machine was operated 3,500 hours and produced 43,000 units. During 2015, the machine was operated 5,200 hours and produced 58,000 units. Instructions Compute depreciation expense on the machine for the year ending December 31, 2014, and the year ending December 31, 2015, using the following methods. (a) Straight-line. (b) Units-of-output. (c) Working hours. (d) Sum-of-the-years'-digits. (e) Declining-balance (twice the straight-line rate)