Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help *Problem 9-03A Sheridan Company had the following assets on January 1, 2022. Useful Life (in years) Salvage Value $ 0 10 Item Machinery

image text in transcribedimage text in transcribedplease help

*Problem 9-03A Sheridan Company had the following assets on January 1, 2022. Useful Life (in years) Salvage Value $ 0 10 Item Machinery Forklift Truck Cost $64,000 23,000 29,400 Purchase Date Jan. 1, 2012 Jan. 1, 2019 Jan. 1, 2017 5 0 3,000 During 2022, each of the assets was removed from service. The machinery was retired on January 1. The forklift was sold on June 30 for $11,300. The truck was discarded on December 31. Journalize all entries required on the above dates, including entries to update depreciation, where applicable, on disposed assets. The company uses straight-line depreciation. All depreciation was up to date as of December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter o for the amounts.) During 2022, each of the assets was removed from service. The machinery was retired on January 1. The forklift was sold on June 30 for $11,300. The truck was discarded on December 31. Journalize all entries required on the above dates, including entries to update depreciation, where applicable, on disposed assets. The company uses straight line depreciation. All depreciation was up to date as of December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation Debit Credit Jan. 1 Accumulated Depreciation Equipment 64000 Equipment 64000 Pune 30 Depreciation Expense 2300 Accumulated Depreciation Equipment (To record depreciation expense on Forklift) June 30 Cash 11300 Accumulated Depreciation Equipment 16100 Gain on Disposal of Plant Assets 2300 23000 Equipment (To record sale of forklift) Dec. 31 Depreciation Expense 3675 Accumulated Depreciation Equipment 3675 (To record depreciation expense on truck) Dec. 31 Accumulated Depreciation Equipment Loss on Disposal of Plant Assets Equipment 29400 (To record sale of truck)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored 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

Recommended Textbook for

More Books

Students also viewed these Accounting questions