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record the depreciation and disposal of all machines. Please put the entries for depreciation and disposal separate During the current year, Merkley Company disposed of
record the depreciation and disposal of all machines. Please put the entries for depreciation and disposal separate
During the current year, Merkley Company disposed of three different assets. On January 1 of the current year, prior to the disposal of the assets, the accounts reflected the following: Asset Machine A Machine B Machine C Original Cost $ 27,000 65,000 75,400 Residual Value $ 3,000 4,000 5,500 Estimated Life 6 years 8 years 17 years Accumulated Depreciation (straight line) $16,000 (4 years) 45,750 (6 years) 49,341 (12 years) The machines were disposed of during the current year in the following ways: a. Machine A: Sold on January 1 for $10,600 cash. b. Machine B: Sold on December 31 for $12,325, received cash. $2,200, and a $10,125 interest-bearing (12 percent) note receivable due at the end of 12 months. c. Machine C: On January 1, this machine suffered irreparable damage from an accident. On January 10, a salvage company removed the machine at no cost. 3-6 Part 1 quired: Give all journal entries related to the disposal of each machine in the current year. Machine A Machine B. Machine C Complete the following questions by preparing worksheet and journal entries given below. Required A Required B Required c Sive all journal entries related to the disposal of Machine A in the current year. (If no entry is required for a transaction/event, select "No ournal entry required" in the first account field.) View transaction list Journal entry worksheet Record the depreciation of Machine A. Note: Enter debits before credits. General Journal Debit Credit Transaction January 01Step by Step Solution
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