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Equipment acquired on January 6 at a cost of $ 3 3 5 , 1 9 0 , has an estimated useful life of 1
Equipment acquired on January at a cost of $ has an estimated useful life of years and an estimated residual value of $
Required:
a What was the annual amount of depreciation for Years using the straightline method of depreciation?
b What was the book value of the equipment on January of Year
c Assuming that the equipment was sold on January of Year for $ journalize the entry to record the sale. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
d Assuming that the equipment had been sold on January of Year for $ instead of $ journalize the entry to record the sale. Refer to the chart of accounts for the exact wording of the account titles. CNOW journals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.
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