5) (20 Points) Baldo Inc. initiated a major company expansion on January 4, 2025. During the first quarter of 2025, Baldo acquired several assets that were placed into production on July 1 , 2025. The following costs were incurred: Purchase of Warehouse; exchanged 1,000 shares of Newall stock with a par value of ( $ 5 ) per share. Baldo stock is currently trading at ( $ 120 ) per share. Installation of production line equipment. ( $ 25,000 ) Instructions Based on this information, prepare the necessary journal entries to record the asset acquisitions assuming that all assets were purchased for cash except for the warehouse. 6) (10 Points) The Horizon Corporation is disposing of a piece of equipment on May 1, 2025. The equipment had an original cost of ( $ 400,000 ) when purchased on January 1, 2021. Accumulated depreciation as of ( 12 / 31 / 202 ) / flwas ( $ 160,000 ) assuming straight-line depreciation over a useful life of 10 years with no salvage value. Brayden received ( $ 250,000 ) on the sale of he equipment. What is the journal entry to record the sale? (10 Points) A machine that cost ( $ 500,000 ) is acquired on October 1,2025 . Its estimated salva alue is ( $ 50,000 ) and its expected life is eight years. structions Calculate depreciation expense for 2025 and 2026 by each of the following methods, show the figures used. (a) Double-declining balance (b) Sum-of-the-years'-digits At the end of 2026, which method results in the larger accumulated depreciation amount

5) (20 Points) Baldo Inc. initiated a major company expansion on January 4, 2025. During the first quarter of 2025 , Baldo acquired several assets that were placed into production on July 1 . 2025. The following costs were incurred: Purchase of Warehouse; exchanged 1,000 shares of Newall stock with a par value of $5 per share. Baldo stock is currently trading at $120 per share. Installation of production line equipment. $25,000 Instructions Based on this information, prepare the necessary journal entries to record the asset acquisitions assuming that all assets were purchased for cash except for the warehouse. 6) (10 Points) The Horizon Corporation is disposing of a piece of equipment on May 1, 2025. The equipment had an original cost of $400,000 when purchased on January 1, 2021. Accumulated depreciation as of 12/31/202 / was $160,000 assuming straight-line depreciation ver a useful life of 10 years with no salvage value. Brayden received $250,000 on the sale of he equipment. What is the journal entry to record the sale? (10 Points) A machine that cost $500,000 is acquired on October 1, 2025. Its estimated salvas lue is $50,000 and its expected life is eight years. structions Calculate depreciation expense for 2025 and 2026 by each of the following methods, show the figures used. (a) Double-declining balance (b) Sum-of-the-years'-digits At the end of 2026, which method results in the larger accumulated depreciation amount Pacie 3