Question 1 [20 points]

United Corporation was preparing the annual financial statements and, as part of the year-end procedures, assessed the assets and prepared the following alphabetized schedule based on adjusted values at December 31, 2015:

Question 1 (20 points] United Corporation was preparing the annual financial statements and, as part of the year-end procedures, assessed the assets and prepared the following alphabetized schedule based on adjusted values at December 31, 2015: Date of Deprec. Residual Accum. Recoverable Asset Purchase Method* Cost Value Useful Life Deprec. Amount Equipment Jul. 2/10 Units $42,000 $7,000 5,000 units $14,000 $10,000 Furniture Aug. 26/10 DDB 14,000 3,000 8 yrs 10.955 5,000 Land May 4/10 N/A 89,000 N/A N/A N/A 106,000 Office building Oct. 2/10 SL 52,000 16,000 15 yrs 12,600 41,000 Warehouse Aug. 2/10 SL 103,400 11,000 22 yrs 22,750 82,000 *DDB = Double-declining balance; SL = Straight-line; Units = Units-of-production; N/A = Not applicable a) Record any impairment losses at December 31, 2015. Assume United Corporation has recorded no impairment losses in previous years. General Journal Page Gj1 Effect On Date Account/Explanation F Debit Credit Balance Sheet b) Record depreciation for each asset at December 31, 2016. Assume that there was no change in the residual values or useful lives regardless of any impairment losses that might have occurred. The equipment produced 1,500 units during 2016. Please make sure your final answer(s) are accurate to the nearest whole number General Journal Page Gj1 Effect On Date Account/Explanation F Debit Credit Balance Sheet +