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Molinari Co. operates several cafes throughout the state. They are opening a new location and purchase an espresso machine for $13615 cash on January 1,
Molinari Co. operates several cafes throughout the state. They are opening a new location and purchase an espresso machine for $13615 cash on January 1, 2012. Molinari expects this machine to last 6 years and to get 342000 shots of espresso over the machine's life. At the end of the machine's life they estimate the salvage value will be $3229 Molinari will depreciate this espresso machine using the units of activity method. 3 full months have passed since depreciation was last updated on December 31, 2013. During this time. Molinari pulled 28900 shots. Molinari decides to sell this espresso machine and will receive $8312 cash for it (Remember that during 2012 and 2013 they putted a total of 113000 shots. The journal entry to record the second step of selling the espresso machine is: dr. Cash dr. Accumulated Depreciation dr or cr. Loss or Gain on sale of equipment cr Equipment For what dollar amount will Equipment be credited? (Round all intermediate calculations to the nearest hundredth. Enter your final answer rounded to the nearest dollar.)
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