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Help Save & Exit Check 7 2 points O'Connor Company ordered a machine on January 1 at a purchase price of $45,000 On the date
Help Save & Exit Check 7 2 points O'Connor Company ordered a machine on January 1 at a purchase price of $45,000 On the date of delivery, January 2, the company paid $11.000 on the machine and signed a long-term note payable for the balance. On January 3, it paid $500 for freight on the machine. On January 5. O'Connor paid cash for installation costs relating to the machine amounting to $2,700 On December 31 (the end of the accounting period). O'Connor recorded depreciation on the machine using the straight-line method with an estimated useful life of 10 years and an estimated residual value of $4,800. Required: 1. Indicate the effects accounts, amounts, and + for increase - for decrease) of each transaction (on January 1, 2, 3, and 5) on the accounting equation 2. Compute the acquisition cost of the machine 3. Compute the depreciation expense to be reported for the first year, 4. What should be the book value of the machine at the end of the second year? 100 References Rok value of the machine at the end of the second year? Here Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required Required 4 Indicate the effects (accounts, amounts, and for increase, - for decrease) of each transaction (on January 1, 2, 3, and 5) on the accounting equation. En with a minus sign) Date Assets Lisaties Stockholders' Equity Jonot Jan 02 Jan 03 Jan 08 Required 2 > Required 1 Required 2 Required 3 Required 4 Compute the acquisition cost of the machine. Acquisition Cost Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 What should be the book value of the machine at the end of the second year? (Do not round intermed Book Value
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