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Please help with the adjustment entry (question 51) 51. Depreciation expense a. For the building purchased this year. b. The pre-existing packaging equipment has a
Please help with the adjustment entry (question 51)
51. Depreciation expense a. For the building purchased this year. b. The pre-existing packaging equipment has a 12-year life, a $20,000 residual value, and uses the straight-line method of depreciation. The depreciation has already been recorded through 6/30/19. c. The pre-existing building is already fully depreciated. 7/2/19: Purchase a building for $500,000 paying $300,000 in cash with the remainder on a 15-year, 5% note. The building has a 20-year useful life and a salvage value of $50,000. It will be depreciated using the straight-line method. 7/2/19 Building 500,000 Cash Notes Payable 300,000 200,000 51. Depreciation expense a. For the building purchased this year. b. The pre-existing packaging equipment has a 12-year life, a $20,000 residual value, and uses the straight-line method of depreciation. The depreciation has already been recorded through 6/30/19. c. The pre-existing building is already fully depreciated. 7/2/19: Purchase a building for $500,000 paying $300,000 in cash with the remainder on a 15-year, 5% note. The building has a 20-year useful life and a salvage value of $50,000. It will be depreciated using the straight-line method. 7/2/19 Building 500,000 Cash Notes Payable 300,000 200,000Step by Step Solution
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