1 answer

Equipment was acquired at the beginning of the year at a cost of $38,500. The equipment...

Question:

Equipment was acquired at the beginning of the year at a cost of $38,500. The equipment was depreciated using the double-declining-balance method based on an estimated useful life of five years and an estimated residual value of $750.

a. What was the depreciation for the first year?
$

b. Assuming the equipment was sold at the end of year 3 for $8,730, determine the gain or loss on the sale of the equipment.
$   

c. Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.


Answers

Double decline rate = 100/5*2 = 40%

a) Depreciation expense = 38500*40% = 15400

b) Gain (loss) = Sale value-Book value = 8730-(38500*60%*60%*60%) = 414

c) Journal entry

Cash 8730
Accumulated depreciation-equipment 30184
Gain on sale of equipment 414
Equipment 38500
.

Similar Solved Questions

1 answer
Whats the slope of a line perpendicular to #x - y = 16#?
Whats the slope of a line perpendicular to #x - y = 16#?...
1 answer
Cant seem to figure out how to do Q iii onwards... Question 6 [3+2+3+ 5+2+2 +...
cant seem to figure out how to do Q iii onwards... Question 6 [3+2+3+ 5+2+2 + 2 +2 21 marks] Sherlock Duck v0.95c Billy and Wyatt courtesy of http://www.designedtoat.com/freegraphics.htm Billy and Wyatt are playing laser tag at the OK Laser Tag Centre. Sherlock Duck is flying past in a very fast roc...
1 answer
Cutnell, Physics, 11e GENERAL PHYSICS (PHYS 2001/20 ice Assignment Gradebook ORION Downloadable eTextbook ment FULL SCREEN...
Cutnell, Physics, 11e GENERAL PHYSICS (PHYS 2001/20 ice Assignment Gradebook ORION Downloadable eTextbook ment FULL SCREEN PRINTER VERSION BACK NEXT Chapter 21, Problem 31 A 48-m length of wire is stretched horizontally between two vertical posts. The wire carries a current of 70 A and experiences a...
1 answer
APPLYING YOUR KNOWLEDGE 1. The fossil record provides little information about ancient mosses. Do you think...
APPLYING YOUR KNOWLEDGE 1. The fossil record provides little information about ancient mosses. Do you think that bryophytes could ever have been large, tree-sized plants? Pro vide evidence from your investigations to support your answer. 2. On a walk through a botanical garden, you notice a small le...
1 answer
Bennis Company has the following comparative balance sheet data
Bennis Company has the following comparative balance sheet data. BENNIS COMPANY Balance Sheets December 31 2011 2010 Cash $ 15,000 $ 30,000 Receivables (net) 70,000 60,000 Inventories 60,000 50,000 Plant assets (net) 200,000 180,000 $345,000 $320,000 Accounts payable $50,000 $60,000 ...
1 answer
You can earn $58 in interest on a $1,000 deposit for eight months. If the EAR is the same regardless of the length of the investment, how much interest will you earn on a $1,000 deposit for: a. 9 months. b. 1 year. c. 1.5 years.
You can earn $58 in interest on a $1,000 deposit for eight months. If the EAR is the same regardless of the length of the investment, how much interest will you earn on a $1,000 deposit for:a. 9 months.b. 1 year.c. 1.5 years....
1 answer
A 175·kg horizontal beam is supported at each end. A 305·kg piano rests a fifth of...
A 175·kg horizontal beam is supported at each end. A 305·kg piano rests a fifth of the way from one end. (a) What is the vertical force on the support closest to the piano? (b) What is the vertical force on the support furthest from the piano?...
1 answer
How do you find the domain and range for #y=2x-10#?
How do you find the domain and range for #y=2x-10#?...
1 answer
- -us-east-1-prod-Fleet01-X... Ver Capitulo 184 Kara Sevda O O KINETICS AND EQUILIBRIUM Writing the pressure equilibrium...
- -us-east-1-prod-Fleet01-X... Ver Capitulo 184 Kara Sevda O O KINETICS AND EQUILIBRIUM Writing the pressure equilibrium expression for a heterogeneous equilibrium D O O Write the pressure equilibrium constant expression for this reaction. Ti(s)+2 C12(9) TiCl (0) x 5 ?...
1 answer
1. Consider the distribution Tylo]-)dx where f(x)H(x), and H() is the Heavi- side function. Find ...
1. Consider the distribution Tylo]-)dx where f(x)H(x), and H() is the Heavi- side function. Find the distributional derivative of f (r 1. Consider the distribution Tylo]-)dx where f(x)H(x), and H() is the Heavi- side function. Find the distributional derivative of f (r...
1 answer
A) In London (51° 32'N; 0° 5,W) the sun cantise as early as 4.00 am and set as late as 9.00pm in ...
a) In London (51° 32'N; 0° 5,W) the sun cantise as early as 4.00 am and set as late as 9.00pm in summer and yet rise as late as 8.00am and set at 4.00pm in winter. Explain (8 marks) Q2. with the aid of sketches, the reason for this. Q2. (Continued) b) With reference to an observer standi...
1 answer
Ridgewood Company has 25,000 shares of cumulative 2% preferred stock, $50 par and 150,000 shares of...
Ridgewood Company has 25,000 shares of cumulative 2% preferred stock, $50 par and 150,000 shares of $25 par common stock. During the current year, $62,500 was distributed as dividends. Determine the numerator in the dividend yield calculation....
1 answer
What happens at a DNA replication fork during replication?
What happens at a DNA replication fork during replication?...
1 answer
Ework Help The following information applies to the questions displayed below) North Inc. is a calendar-year C corporation, accrual-basis taxpayer. At the end of year 1, North accrued and deducte...
ework Help The following information applies to the questions displayed below) North Inc. is a calendar-year C corporation, accrual-basis taxpayer. At the end of year 1, North accrued and deducted the following bonuses for certain employees for financial accounting purposes. $11,050 for Lisa Tanaka,...
1 answer
17) - 17) Consider the conversion of 1-butanol to each of the compounds shown below. In...
17) - 17) Consider the conversion of 1-butanol to each of the compounds shown below. In which conversion is an oxidizing agent needed? A) CH3CH2CH2CH2Br B) CH3CH2CH2CH3 C) (CH3CH2CH2CH2)20 D) CH3CH2CH2CH=0 18) 18) Which one of the following diols would cleave into two fragments with HIO4? A) 2,4-hex...
1 answer
Please all all parts with correct numbers and neatly show work. Thank you .) We consider...
Please all all parts with correct numbers and neatly show work. Thank you .) We consider a mathematical pendulum with mass 2.6kg attached to s string of unknown length L suspended from a (very high) ng The graph shows the angular displacement 1with respect to the vertical ф- as a function o...
1 answer
C. 0.06lg D. 3.57g E. 0.73 g 17. A distracted driver going along a parkway at...
C. 0.06lg D. 3.57g E. 0.73 g 17. A distracted driver going along a parkway at constant speed of 14 m/s passes a police car parked at the sidelines. If the police car takes 4.0 s to take off and chases the distracted driver accelerating at a rate of 2.0 m/s2, how long until it catches with the distra...