Problem 11 2 (Algo) Comprehensive problem Chapters 10 and 11 LO11 2, 11 4 At December 31, 2020, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows Category Plant Asset Accumulated Depreciation and Amortization Land $ 181,000 $ Land improvements Buildings 1,800,000 334,900 Equipment 1,425,000 323,500 Automobiles and trucks 178,000 106,325 Leasehold improvements 228,000 114,000 Depreciation methods and useful lives Buildings150 declining balance 25 years EquipmentStraight line 10 years Automobiles and trucks200 declining balance 5 years, all acquired after 2017 Leasehold improvementsStraight line Land improvementsStraight line Depreciation is computed to the nearest month and residual values are immaterial Transactions during 2021 and other information On January 6, 2021, a plant facility consisting of land and building was acquired from King Corp in exchange for 31,000 shares of Cord's common stock On this date, Cord's stock had a fair value of $50 a share Current assessed values of land and building for property tax purposes are $202,500 and $607,500, respectively On March 25, 2021, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $228,000 These expenditures had an estimated useful life of 12 years The leasehold improvements were completed on December 31, 2017, and had an estimated useful life of eight years The related lease, which would terminate on December 31, 2023, was renewable for an additional four year term On April 30, 2021, Cord exercised the renewal option On July 1, 2021, equipment was purchased at a total invoice cost of $331,000 Additional costs of $10,000 for delivery and $56,000 for installation were incurred On September 30, 2021, Cord purchased a new automobile for $13,100 On September 30, 2021, a truck with a cost of $24,600 and a book value of $10,200 on date of sale was sold for $12,100 Depreciation for the nine months ended September 30, 2021, was $2,295 On December 20, 2021, equipment with a cost of $20,000 and a book value of $3,125 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 2021 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, 2021

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Problem 11-2 (Algo) Comprehensive problem; Chapters 10 and 11 [LO11-2, 11-4] At December 31, 2020, Cord Company's plant asset and accumulated depreciation and amortization accounts

Problem 11-2 (Algo) Comprehensive problem; Chapters 10 and 11 [LO11-2, 11-4]

At December 31, 2020, Cord Company's plant asset and accumulated depreciation and amortization accounts had balances as follows:

Category	Plant Asset		Accumulated Depreciation and Amortization
Land	$	181,000	$
Land improvements
Buildings		1,800,000		334,900
Equipment		1,425,000		323,500
Automobiles and trucks		178,000		106,325
Leasehold improvements		228,000		114,000

Depreciation methods and useful lives: Buildings150% declining balance; 25 years. EquipmentStraight line; 10 years. Automobiles and trucks200% declining balance; 5 years, all acquired after 2017. Leasehold improvementsStraight line. Land improvementsStraight line. Depreciation is computed to the nearest month and residual values are immaterial. Transactions during 2021 and other information:

On January 6, 2021, a plant facility consisting of land and building was acquired from King Corp. in exchange for 31,000 shares of Cord's common stock. On this date, Cord's stock had a fair value of $50 a share. Current assessed values of land and building for property tax purposes are $202,500 and $607,500, respectively.
On March 25, 2021, new parking lots, streets, and sidewalks at the acquired plant facility were completed at a total cost of $228,000. These expenditures had an estimated useful life of 12 years.
The leasehold improvements were completed on December 31, 2017, and had an estimated useful life of eight years. The related lease, which would terminate on December 31, 2023, was renewable for an additional four-year term. On April 30, 2021, Cord exercised the renewal option.
On July 1, 2021, equipment was purchased at a total invoice cost of $331,000. Additional costs of $10,000 for delivery and $56,000 for installation were incurred.
On September 30, 2021, Cord purchased a new automobile for $13,100.
On September 30, 2021, a truck with a cost of $24,600 and a book value of $10,200 on date of sale was sold for $12,100. Depreciation for the nine months ended September 30, 2021, was $2,295.
On December 20, 2021, equipment with a cost of $20,000 and a book value of $3,125 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 2021. 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, 2021.