Zells Shredding Service has just completed a minor repair on a shredding machine. The repair cost was

Question:

Zell’s Shredding Service has just completed a minor repair on a shredding machine. The repair cost was $900, and the book value prior to the repair was $5,000. In addition, the company spent $8,000 to replace the roof on a building. The new roof extended the life of the building by five years. Prior to the roof replacement, the general ledger reflected the Building account at $90,000 and related Accumulated Depreciation account at $40,000.

Required
After the work was completed, what book value should Zell’s report on the for the shredding machine and the building?

Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...