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Depreciation by two methods; sale of fixed asset Check My Work Asset cost minus residual value equals depreciable cost. Sum the yearly depreciation to determine
Depreciation by two methods; sale of fixed asset Check My Work
Asset cost minus residual value equals depreciable cost. Sum the yearly depreciation to determine total depreciation.
In the first year, the balance in the accumulated depreciation account is zero. Remember not to reduce book value below residual value.
Journalize the entry to record the sale, assuming doubledecliningbalance method is used. If an amount box does not require an entry, leave it blank.
Accumulated DepreciationEquipment
Equipment
Gain on Sale of Equipment Journalize the entry to record the sale, assuming that the equipment was sold for $ instead of $ If an amount box does not require an
entry, leave it blank.
New tire retreading equipment, acquired at a cost of $ on September at the beginning of a fiscal year, has an estimated useful life of years and
an estimated residual value of $ The manager requested information regarding the effect of alternative methods on the amount of depreciation
expense each year. On the basis of the data presented to the manager, the doubledecliningbalance method was selected.
In the first week of the fifth year, on September the equipment was sold for $
Required:
Determine the annual depreciation expense for each of the estimated years of use, the accumulated depreciation at the end of each year, and the
book value of the equipment at the end of each year by the following methods:
a Straightline method
b Doubledecliningbalance method
please help me fill in the blanks that don't already have an answer!
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