Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Plz answer this ASAP (The following information applies to the questions displayed below.] While completing undergraduate schoolwork in information systems, Dallin Bourne and Michael Banks

Plz answer this ASAP
image text in transcribed

(The following information applies to the questions displayed below.] While completing undergraduate schoolwork in information systems, Dallin Bourne and Michael Banks decided to start a technology support company called eSys Answers. During year 1, they bought the following assets and incurred the following start-up fees: Year 1 Assets Computers (5-year) Office equipment (7 -year) Furniture (7 -year) Start-up costs Purchase October 30, October 30, October 30, October 30, Date Year Year Year Year 1 1 1 1 Basis $ 15, eee le , eee 3, eoe 17 , eee In April of year 2, they decided to purchase a customer list from a company providing virtually the same services, started by fellow information systems students preparing to graduate. The customer list cost $10,000, and the sale was completed on April 30. During their summer break, Dallin and Michael passed on internship opportunities in an attempt to really grow their business into something they could do full time after graduation. In the summer, they purchased a small van (for transportation, not considered a luxury auto) and a pinball machine (to help attract new employees). They bought the van on June 15, Year 2, for $15,000 and spent $3,000 getting it ready to put into service. The pinball machine cost $4,000 and was placed in service on July 1, Year 2. Year 2 Assets Van Pinball machine (7 -year) Customer list Purchase Date June 15, Year 2 July 1, Year 2 April 3, Year 2 Basis $ 18,000 10, Assume that eSys Answers does not claim any >179 expense or bonus depreciation. (IJse MACRS Table 1, Table 2, Table 3, Table 4 and Table 5.) Note: Round your intermediate calculations end final answers to the nearest whole dollar amount.

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

Financial Reporting And Statement Analysis A Strategic Perspective

Authors: Clyde P. Stickney, Paul Brown

4th Edition

0030238110, 978-0030238116

More Books

Students also viewed these Finance questions

Question

3.4 Define HRIS and describe its main components.

Answered: 1 week ago