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please help! I've worked everything out I just need to check if I'm right. 1.) Venus Company acquired equipment on Jan. 1,2010, for $800,000. The
please help! I've worked everything out I just need to check if I'm right.
1.) Venus Company acquired equipment on Jan. 1,2010, for $800,000. The equipment has an estimated useful life of 5 years and an estimated salvage value of $50,000. Calculate depreciation expense for 2010 and 2011 under each of the following methods. The equipment is estimated to produce 150,000 units. During 2010 and 2011, the equipment produced 25,000 and 60,000 units, respectively. Round to the nearest dollar. Find the depreciation expense for 2010 and 2011 using: 2010 2011 Straight-line Double Declining balance Units of output 2.) Record the following journal entries in journal 2010 Jan. 1 Purchased equipment for $50,000 cash. July 1 Purchased a building for $120,000 cash. Dec. 31 Record depreciation for both assets. Use straight line depreciation. Equipment has a salvage value of $5,000 and a 10 yr. estimated life. Building has a salvage value of $40,000 and a 20 yr. estimated life. 2011 June 30 Sold the equipment for $22,000 cash. (remember to record depreciation first.) 3.) B&B Company has numerous employees who are paid on a weekly basis. Payroll information for the most recent week ending November 15th is given below: Employee compensation (gross pay) Union Dues Charitable contributions Federal Income Tax Rate FICA-Social Security Tax Rate FICA-Medicare Tax Rate FUTA Rate SUTA Rate $122,000 $ 1,250 $ 855 22.5% 6.2% 1.45% 0.8% 5.4% Prepare the journal entry to record the 1) employee deduction entry and 2) the payroll tax expense entry for B & B Company for November 15thStep by Step Solution
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