Answered step by step
Verified Expert Solution
Link Copied!

Question

00
1 Approved Answer

please help me corect my incorrect boxes At December 31, 2023, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows

please help me corect my incorrect boxes
image text in transcribed
image text in transcribed
image text in transcribed
At December 31, 2023, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows Depreciation methods and useful lives: Buildings 150% declining balance; 25 years. Equipment-Straight line; 10 years. Automobiles and trucks 200% declining balance; 5 years, all acquired after 2020 . Leasehold improvements-Straight line. Land improvements-Straight line. Depreciation is computed to the nearest month and residual values are immaterial. Transactions during 2024 and other information: a. On January 6,2024 , a plant facility consisting of land and building was acquired from King Corporation in exchange for 16,000 shares of Cord's common stock. On this date, Cord's stock had a fair value of $60 a share. Current assessed values of land and buliling for property tax purposes are $198,000 and $462,000, respectively. b. On March 25, 2024, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $138,000. These expenditures had an estimated useful life of 12 years. c. The leasehold improvements were completed on December 31, 2020, and had an estimated useful life of eight years. The related lease, which would terminate on December 31, 2026, was renewable for an additional four-year term. On April 30, 2024, Cord exercised the renewal option. d. On July 1, 2024, equipment was purchased at a total invoice cost of $316,000. Additional costs of $11,000 for delivery and $41,000 for installation were incurred. e. On September 30, 2024, Cord purchased a new automobile for $11,600. f. On September 30,2024 , a truck with a cost of $23,100 and a book value of $7,400 on date of sale was sold for $10,600. Depreciation for the nine months ended September 30,2024 , was $1,665. g. On December 20,2024 , equipment with a cost of $12,500 and a book value of $2,750 at date of disposition was scrapped without cash recovery. Required: 1. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not analyze changes in accumulated depreciation and amortization. 2. For each asset category, prepare a schedule showing depreciation or amortization expense for the year ended December 31 Complete this question by entering your answers in the tabs below. Prepare a schedule analyzing the changes in each of the plant asset accounts during 2024. Do not ane accumulated depreciation and amortization. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. For each asset category, prepare a schedule showing depreciation or amortization expense for th 2024. Note: Do not round intermediate calculations. Round your final answers to nearest whole dollar

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions