Workshop 4 Problems Student (2) - Excel Home Insert Page Layout Formulas Data Review View PDF-XChange Tell me what you want to do.. A B C D E F G H M N O PQ 4.6 Recording transactions in the Accounting Equation including purchase of asset and recording depreciation. Points: 18 items @ 2 pts. each = 36 points. Directions: Complete the accounting equation and questions below with the information provided Background Information: 1 The company started when it acquired $55,000 cash issuing common stock 2 Purchased a new industrial oven that cost $35,000 cash 3 Earned $75,000 in cash revenue 4 Paid $30,000 cash for salaries Expense 5 Adjustment for use of industrial oven. Purchased on January 2 ,2018 with a useful life of 4 years and salvage value of $4,000 Straight-line Depreciation was used of the entry on December 31,2018 11 12 a) Compete the accounting equation 13 Goofy Company 14 Accounting Equation 15 Balance Sheet Income Statement 16 Event Assets Accumulated Stockholders Equity 17 Cash Equipment Depreciation = Common Stock + Retained Earnings Revenue Expense Net Income 18 1 55,000 19 (35,000) 20 3 75,000 21 4 (30,000) 22 5 23 Total $ 65,000 + $ 24 25 b) What amount of depreciation expense should be reported on the 2018 income statement? 26 27 c) What amount of accumulated depreciation would be reported on the 2019 Year-End Balance Sheet? 28 29 Helpful Resources 30 31 What Are the Main Types of Depreciation Methods? 32 33 Capital Asset Depreciation - Straight-Line 34 35 36 37 38 39 40 41 42