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Please help fill in the empty charts: A , B , C , D , E ! Thank you Acquisition of An Asset: Moss Piano
Please help fill in the empty charts: A B C D E Thank you Acquisition of An Asset: Moss Piano Company purchases a tract of land and an existing building for $ The company plans to remove the old building and construct a new restaurant on the site. In addition to the purchase price, Moss pays closing costs, including title insurance of $ The company also pays $ in property taxes, which includes $ of back taxes unpaid taxes from previous years paid by Moss on behalf of the seller and $ due for the current fiscal year after the purchase date. Shortly after closing, the company pays a contractor $ to tear down the old building and remove it from the site. Moss is able to sell salvaged materials from the old building for $ and pays an additional $ to level the land. Determine the cost of the land. Depreciation and Disposal The Moss Piano Company purchased a Delivery Truck on January for $ which included all costs to get the asset ready for use. The truck has an anticipated life of miles or years. The estimated residual value at the end of the assets service life is expected to be $ For assets of this type, the company utilizes the straightline depreciation method. A Record the purchase of the asset. tableALSERENICFAccount,DRCR B Complete the depreciation table below. tablePeriod Ended,tableDepreciationExpensetableAccumulatedDepreciationtableEnd of Period BookValueDecember December December December C Record the entry for December to record the depreciation for the year. tableALSERENICFAccount,,, D Suppose the company sells the van on December for $ cash. Provide the journal entry to record the sale. tableALSERENICFAccount,, E Assume the company chooses to use the unitsofproduction method. Based on the information below, complete the depreciation schedule. tableYearMiles Driven tablePeriod Ended,tableDepreciationExpensetableAccumulatedDepreciationtableEnd of Period BookValueDecember December December December
Please help fill in the empty charts: A B C D E Thank you
Acquisition of An Asset:
Moss Piano Company purchases a tract of land and an existing building for $ The company plans to remove the old building and construct a new restaurant on the site. In addition to the purchase price, Moss pays closing costs, including title insurance of $ The company also pays $ in property taxes, which includes $ of back taxes unpaid taxes from previous years paid by Moss on behalf of the seller and $ due for the current fiscal year after the purchase date. Shortly after closing, the company pays a contractor $ to tear down the old building and remove it from the site. Moss is able to sell salvaged materials from the old building for $ and pays an additional $ to level the land.
Determine the cost of the land.
Depreciation and Disposal
The Moss Piano Company purchased a Delivery Truck on January for $ which included all costs to get the asset ready for use. The truck has an anticipated life of miles or years. The estimated residual value at the end of the assets service life is expected to be $ For assets of this type, the company utilizes the straightline depreciation method.
A Record the purchase of the asset.
tableALSERENICFAccount,DRCR
B Complete the depreciation table below.
tablePeriod Ended,tableDepreciationExpensetableAccumulatedDepreciationtableEnd of Period BookValueDecember December December December
C Record the entry for December to record the depreciation for the year.
tableALSERENICFAccount,,,
D Suppose the company sells the van on December for $ cash. Provide the journal entry to record the sale.
tableALSERENICFAccount,,
E Assume the company chooses to use the unitsofproduction method. Based on the information below, complete the depreciation schedule.
tableYearMiles Driven
tablePeriod Ended,tableDepreciationExpensetableAccumulatedDepreciationtableEnd of Period BookValueDecember December December December
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