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Question 18 During 2012, Noller Co. sold equipment that had cost $299,633 for $175,913. This resulted in a gain of $12,900. The balance in Accumulated
Question 18
During 2012, Noller Co. sold equipment that had cost $299,633 for $175,913. This resulted in a gain of $12,900. The balance in Accumulated DepreciationEquipment was $975,000 on January 1, 2012, and $930,000 on December 31. No other equipment was disposed of during 2012. Depreciation expense for 2012 was
Question 19
On January 1, 2011, Munoz Co. purchased machinery. The machinery has an estimated useful life of eight years and an estimated salvage value of $2,823. The depreciation applicable to this machinery was $32,220 for 2013, computed by the sum-of-the-years'-digits method. The acquisition cost of the machinery was
(rounding hint: if you convert a fraction to a decimal, don't round it when going forward to use it in any calculations. For example, if 32/55 = .581818181818181...leave all those decimals in your calculator when going on to do any further calculations.)
Question 20
In January 2015, Fehr Mining Corporation purchased a mineral mine for $6,114,953 with removable ore estimated by geological surveys at 2,575,355 tons. The property has an estimated value of $600,000 after the ore has been extracted. Fehr incurred $1,734,403 of development costs preparing the property for the extraction of ore. During 2015, 340,000 tons were removed and 300,000 tons were sold. For the year ended December 31, 2015, Fehr should include what amount of depletion in its cost of goods sold?
(do not round the depletion rate when multiplying it by units removed or sold)
Question 21
In January 2015, Fehr Mining Corporation purchased a mineral mine for $6,141,492 with removable ore estimated by geological surveys at 2,582,642 tons. The property has an estimated value of $600,000 after the ore has been extracted. Fehr incurred $1,739,526 of development costs preparing the property for the extraction of ore. During 2015, 340,000 tons were removed and 300,000 tons were sold. What is the total amount of depletion for 2015?
(do not round the depletion rate when multiplying it by units removed or sold)
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