answers has to be in formulas
On January 1, Year 1, a company purchased equipment. The details of the equipment purchase are below. Required: 1. Based on the information above, caiculate Depreciation Expense. Accumulated Depreciation and Book Value of the equipment using the Straight-Line method for years 13. 2. Assume that the equipment is sold at the end of year 3 for the sale amount in cell B9. (a) Calculate the Gain or Loss on sale. (b) Prepare the joumal entry to record sale of the asset. 3. Assume that the equipment is sold at the end of year 3 for the sale amount in cell 810 . (a) Calculate the Gain or Loss on wale. (b) Prepare the journal entry to record sale of the asset. 4. Assume that the equipment is retired at the end of year 3 (zero proceeds, given in cell B11). (a) Calculate the Gain or Loss on retirement. (b) Prepare the journal entry to record retirement of the asset. 1. Use the Open Excel in New Tab button to launch this question. 2. When finished in Excel, use the Save and Return to Assignment button in the lower right to return to Connect. On January 1, Year 1, a company purchased equipment. The details of the equipment purchase are below. 13 Required: 1. Based on the information above, calculate Depreciation Expense, Accumulated Depreciation and Book Value of the equipment 14 using the Straight-Line method for years 1-3. 15 2. Assume that the equipment is sold at the end of year 3 for the sale amount in cell 89. (a) Calculate the Gain or Loss on sale. (b) Prepare the journal entry to record sale of the asset. 3. Assume that the equipment is sold at the end of year 3 for the sale amount in cell B10. (a) Calculate the Gain or Loss on sale. (b) Prepare the journal entry to record sale of the asset. 4. Assume that the equipment is retired at the end of year 3 (zero proceeds, given in cell B11). (a) Calculate the Gain or Loss on retirement. (b) Prepare the journal entry to record retirement of the asset. Requirement 1: Straight-Line Method (Use cells A2 to B11 from the given Requirement 1: Straight-Line Method (Use cells A2 to B11 from the given information above to complete this question.) 33 Requirement 2: Assume Equipment is Sold for Amount in Cell B9 (a) Calculate Gain or Loss on Sale: (Use cells A2 to B11 from the given information above to complete this question. Accumulated depreciation should be presented as a positive amount. Hint: In cell A43, input a conditional IF statement to return the word "Gain" if cell C43 a positive amount or "Loss" if cell C43 is a negative amount.) (b) Journal Entry for Sale: (Use cells A2 to B11 from the given information above to complete this question. Hint: A "gain" or "loss" account will auto-populate based on your answer in part (a). Show all values as positive amounts.) (Use cells A2 to B11 from the given information above to complete this question. Hint: A "gain" or "loss" account will auto-populate based on your answer in part (a). Show all values as positive amounts.) Requirement 3: Assume Equipment is Sold for Amount in Cell B10 (a) Calculate Gain or Loss on Sale: (Use cells A2 to B11 from the given information above to complete this question. Accumulated depreciation should be presented as a positive amount. Hint: In cell A65, input a conditional IF statement to return the word "Gain" if cell C65 is a positive amount or "Loss" if cell C65 is a negative amount.) (b) Journal Entry for Sale: (Use cells A2 to B11 from the given information above to complete this question. Hint: A "gain" or "loss" account will auto-populate based on your answer in part (a). Show all values as positive amounts.) (Use cells A2 to B11 from the given information above to complete this question. Hint: A "gain" or "loss" account will auto-populate based on your answer in part (a). Show all values as positive amounts.) Requirement 4: Assume Equipment is Retired (zero proceeds, given in Cell B11) (a) Calculate Gain or Loss on Retirement: (Use cells A2 to B11 from the given information above to complete this question. Accumulated depreciation should be presented as a positive amount. Hint: In cell A86, input a conditional If statement to return the word "Gain" if cell C86 is a positive amount or "Loss" if cell C86 is a negative amount.) (b) Journal Entry for Retirement: (Use cells A2 to B11 from the given information above to complete this question. Hint: A "gain" or "loss" account will auto-populate based on your answer in part (a). Show all values as positive amounts.)
