Can you please tell me what I am doing wrong What is the correct answer for automobiles and trucks Depreciation methods and useful lives Buildings150 declining balance 25 years EquipmentStraight line 10 years Automobiles and trucks200 declining balance 5 years, all acquired after 2017 Leasehold improvementsStraight line Land improvementsStraight line Depreciation is computed to the nearest month and residual values are immaterial Transactions during 2021 and other information On January 6, 2021, a plant facility consisting of land and building was acquired from King Corp in exchange for 32,000 shares of Cord's common stock On this date, Cord's stock had a fair value of $60 a share Current assessed values of land and building for property tax purposes are $246,000 and $574,000, respectively On March 25, 2021, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $234,000 These expenditures had an estimated useful life of 12 years The leasehold improvements were completed on December 31, 2017, and had an estimated useful life of eight years The related lease, which would terminate on December 31, 2023, was renewable for an additional four year term On April 30, 2021, Cord exercised the renewal option On July 1, 2021, equipment was purchased at a total invoice cost of $332,000 Additional costs of $11,000 for delivery and $57,000 for installation were incurred On September 30, 2021, Cord purchased a new automobile for $13,200 On September 30, 2021, a truck with a cost of $24,700 and a book value of $10,400 on date of sale was sold for $12,200 Depreciation for the nine months ended September 30, 2021, was $2,340 On December 20, 2021, equipment with a cost of $20,500 and a book value of $3,150 at date of disposition was scrapped without cash recovery Required 1 Prepare a schedule analyzing the changes in each of the plant asset accounts during 2021 Do not analyze changes in accumulated depreciation and amortization 2 For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2021 1 Prepare a schedule analyzing the changes in each of the plant asset accounts during 2021 Do not analyze changes in accumula depreciation and amortization 2 For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31 , 2 Answer is complete but not entirely correct Complete this question by entering your answers in the tabs below For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31 , 2021 (Do not round intermediate calculations Round your final answers to nearest whole dollar ) Prepare a schedule analyzing the changes in each of the plant asset accounts during 2021 Do not analyze changes in accumulated depreciation and amortization

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Jul 26, 2024

Can you please tell me what I am doing wrong? What is the correct answer for automobiles and trucks? Depreciation methods and useful lives: Buildings150%

image text in transcribed Can you please tell me what I am doing wrong? What is the correct answer for automobiles and trucks?

Depreciation methods and useful lives: Buildings150% declining balance; 25 years. EquipmentStraight line; 10 years. Automobiles and trucks200% declining balance; 5 years, all acquired after 2017. Leasehold improvementsStraight line. Land improvementsStraight line. Depreciation is computed to the nearest month and residual values are immaterial. Transactions during 2021 and other information:

On January 6, 2021, a plant facility consisting of land and building was acquired from King Corp. in exchange for 32,000 shares of Cord's common stock. On this date, Cord's stock had a fair value of $60 a share. Current assessed values of land and building for property tax purposes are $246,000 and $574,000, respectively.
On March 25, 2021, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $234,000. These expenditures had an estimated useful life of 12 years.
The leasehold improvements were completed on December 31, 2017, and had an estimated useful life of eight years. The related lease, which would terminate on December 31, 2023, was renewable for an additional four-year term. On April 30, 2021, Cord exercised the renewal option.
On July 1, 2021, equipment was purchased at a total invoice cost of $332,000. Additional costs of $11,000 for delivery and $57,000 for installation were incurred.
On September 30, 2021, Cord purchased a new automobile for $13,200.
On September 30, 2021, a truck with a cost of $24,700 and a book value of $10,400 on date of sale was sold for $12,200. Depreciation for the nine months ended September 30, 2021, was $2,340.
On December 20, 2021, equipment with a cost of $20,500 and a book value of $3,150 at date of disposition was scrapped without cash recovery.

Required:

1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2021. Do not analyze changes in accumulated depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31, 2021. image text in transcribed

1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2021 . Do not analyze changes in accumula depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31 , 2 Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31 , 2021. (Do not round intermediate calculations. Round your final answers to nearest whole dollar.) Prepare a schedule analyzing the changes in each of the plant asset accounts during 2021. Do not analyze changes in accumulated depreciation and amortization