Mastery Problem: Long Term Assets: Fixed and Intangible Patterson Planning Corp., You have been hired by Patterson Planning Corp. an events planning company that recently had a fire in which some of the accounting records were damaged. In reviewing the fixed asset records, you find three depreciation schedules that are not labeled. They are listed in the following table. One of the assets has a depreciation rate of $4.30 per hour. Year Schedule A Schedule B Schedule C 1 $9,890 $10,000 6,000 $10,125 13,500 2 6,450 7,310 3 3,600 13,500 4 2,160 13,500 6,450 4,300 5 740 3,375 6 6,880 4,730 7 8 Total $22,500 $54,000 $46,010 Depreciation 1. Determine which depreciation method is shown in each schedule on the Patterson Planning Corp.panel. Then match each schedule to the asset description that best characterizes the type assets often depreciated using that method. Asset Description Depreciation Schedule Used ccat murinn stendur eck My Work All work saved. Email Instructor Save and Ex Submit Assigen ent Score: 73.91% 1. Determine which depredation method is shown in each schedule on the Patterson Planning Corp.panel. Then match each schedule to the asset description that best characterizes the type of assets often deprecated using that method. Asset Description Depreciation Schedule Used Asset producing steady revenues Asset with variable in service time C Asset generating greater revenues in the early years AY My Work Consider how each type of depreciation is computed. 2. For each of the depreciation schedules shown on the Patterson Planning Corp., fill in the following information. If an amount box does not require an entry, leave it blank. A B C 5 8 X Useful life Residual value Asset cost Total operating hours Check My Work ment Score: 73.91% All work saved. Email Instruktor Save and Ex Submit Assignment Final Questions Review the depreciation schedules on the Patterson Planning Corp. panel, then answer the following questions 1. How would you adjust Schedule Bit at the beginning of Year 3, the asset was estimated to have more years of the remaining, but with a residual value that was $1,500 higher? The total depreciation for this asset now will be The depreciation amount for Year 3 will be 2. What is the difference between the journal entries for discarding or selling a fixed asset? The journal entry to discard a fixed asset differs from the other entry because there is no receipt of cash 3. Complete the following sentences about depreciation. CA) When a fixed asset is fully deprecated it is kept in the ledger it has not been removed from service (B) The balance of the accumulated depreciation account represents the total amount that has been depreciated. (C) Depreciation measures the transfer of the cost of afbeed asset to expense Feed 1. How is a depreciation estimate revised? 2. Compare an example of each type of journal entry. Fachack ack My Work ent Score: 13.91% All work saved Email Instructor Save and Exit Submit Assignment for