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On January 1, 2017, Evers Company purchased the following two machines for use in its production process. Refer to screenshot of problem I need help
On January 1, 2017, Evers Company purchased the following two machines for use in its production process.
Refer to screenshot of problem I need help with what I got wrong
Problem 9-3.! [Part Level Submission) On January 1, 2017, Evers Companyr purchased the following two machines for use in its production process. Machine A: The cash price of this machine was $53,500. Related expenditures included: sales tax $3,550. shipping costs $200. insurance during shipping $100,. installation and tesiing costs $60, and $150 of oil and lubricants to be used with the machinery during its rst year of operations. Euers estimates that the useful life of the machine is 5 years wi'r a $4,400 salvage value remaining at the end ofiat lime period. Assume that the suaightline method of depreciation is used. Machine B: The recorded cost of this machine was $180,000. Ever: estimates that the useful life of the machine is 4 years with a $10,200 salvage value remaining at the end of that time period. V (in) Your answer is partially correct. Try again. Prepare the following for Machine A. (Round answeis to 0 decimal places, e.g. 2,125. Credit account titles are automatically indented when amount is entered. Do not indent manually. Ifno entry is required, select "No Entry\" for the account titles and enter 0 far the amounts.) 1. The joumal entry to record ils purchase on January 1, 201?. 2. Tie joumal entry to record annual depreciation at December 31, 2017. Ne M11\" and Explanaucn Debit credit I 1- Equipment | | 57550] | 7i E x Cash | | 57550] I a v 2' Depreciation Ex pense I 10652 I v '7 x Accumulated Depreciatil | 10552Step by Step Solution
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