Question
Can you please explain how you get these answers? I do not understand the formulas or what calculation needs to be done. On July 1,
Can you please explain how you get these answers? I do not understand the formulas or what calculation needs to be done.
On July 1, 2019,Bens Asphaltpurchased new equipment for $80,000. Its estimated useful life was8years with a $16,000salvage value. On December 31, 2022, the company estimated that the equipment's remaining useful life was10years, with a revised salvage value of $5,000.
- What would the journal entry to record depreciation on December 31, 2019 look like with an account title, debit, and credit?
I know that the accounts would be Depreciation Expense and Accumulated Depreciation- Equipment but do not know how to calculate the debit and credit amounts.
- What would the journal entry to record depreciation on December 31, 2020 look like with an account title, debit and credit?
- How do I compute the revised annual depreciation on December 31, 2022?
- What would the journal entry to record depreciation on December 31, 2022 look like with an account title, debit and credit?
- How would I compute the balance in Accumulated DepreciationEquipment for this equipment after depreciation expense has been recorded on December 31, 2022.
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