The footnote below was taken from the 2014 annual report of Johnson & Johnson (dollars in millions).

a. Approximately how much land did Johnson & Johnson sell during 2014? For simplicity, assure there was no land purchased during 2014.
b. Why did accumulated depreciation increase during 2014?
c. Johnson & Johnson uses the straight-line method of depreciation. If the company used an accelerated method, what effect would that decision have on the balance sheet?
d. What dollar amount appeared on Johnson & Johnson€™s 2014 balance sheet for property, plant, and equipment?

Transcribed Image Text:

2014 2013 Land and land improvements 833 885 Buildings and building equipment 10,423 10,046 Machinery and equipment 22,527 22,206 Construction in progress 3,298 3,600 $36,685 $37,133 Less accumulated depreciation 20,559 20,423 $16,126 $16,710