On July 1, 2019, Sunland Company purchased new equipment for $80,000. Its estimated useful life was 5 years with a $10,000 salvage value. On December 31, 2022, the company estimated that the equipments remaining useful life was 10 years, with a revised salvage value of $5,000.

(a)

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Your answer is correct.

Prepare the journal entry to record depreciation on December 31, 2019. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount	enter a credit amount

eTextbook and Media

List of Accounts

Attempts: 1 of 3 used

(b)

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• Correct Answer (Used)

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Your answer is partially correct.

Prepare the journal entry to record depreciation on December 31, 2020. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount	enter a credit amount

eTextbook and Media

Solution

List of Accounts

Attempts: 3 of 3 used

(c)

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Compute the revised annual depreciation on December 31, 2022.

Revised annual depreciation

$

eTextbook and Media

List of Accounts

Attempts: 2 of 3 used

(d)

• Your Answer
• Correct Answer (Used)

Partially correct answer icon

Your answer is partially correct.

Prepare the journal entry to record depreciation on December 31, 2022. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Account Titles and Explanation	Debit	Credit
enter an account title	enter a debit amount	enter a credit amount
enter an account title	enter a debit amount	enter a credit amount

eTextbook and Media

List of Accounts

Attempts: 3 of 3 used

(e)

• Your Answer
• Correct Answer (Used)

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Your answer is incorrect.

Compute the balance in Accumulated DepreciationEquipment for this equipment after depreciation expense has been recorded on December 31, 2022.

Accumulated DepreciationEquipment

$