Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required information Problem 10-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The following information applies to the questions displayed below]. Timberly Construction makes

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Required information Problem 10-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The following information applies to the questions displayed below]. Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $830,000. The estimated market values of the purchased assets are building. $470,400, land, $307,200 : land improvements, $48,000; and four vehicles, $134,400. Problem 10-1A (Algo) Part 1-3 Required: 1-o. Allocate the lump-sum purchase price to the separate assets purchased 1.b. Prepare the journal entry to record the purchase. 2. Compute the first-year depreciation expense on the building using the straight--line method, assuming a 15 -year life and a $28,000 salvage value 3. Compute the first-year depreciation expense on the land improvements assuming a five-year life and double-declining-balance depreciation. Complete this question by entering your answers in the tabs below. Allocate the fump-sum purchase price to the separate assets purchased. Problem 10-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The following information applies to the questions displayed below] Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $830,000. The estimated market values of the purchased assets are buiding. $470,400; land, $307,200; land improvements, $48,000. and four vehicles, $134,400. Problem 10-1A (Algo) Part 1-3 Required: 1-o. Allocate the lump-sum purchase price to the separate assets purchased. 1-b. Prepare the journal entry to record the purchase 2. Compute the first-year depreciation expense on the building using the straight-line method, assuming a 15 -year life and a $28.000 salvage value 3. Compute the first-year depreciation expense on the land improvements assuming a five-year life and double-declining-balance depreciation. Complete this question by entering your answers in the tabs below. Prepare the journal entry to record the purchase. Required information Problem 10-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The following information applies to the questions displayed below] Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $830,000. The estimated market values of the purchased assets are building, $470,400; land, $307,200; land improvements, $48.000 : and four vehicles, $134,400. Problem 10-1A (Algo) Part 1-3 Required: 1-o. Allocate the lump-sum purchase price to the separate assets purchased. 1.b. Prepare the journal entry to record the purchase. 2. Compute the first-year depreciation expense on the building using the straight-line method, assuming a 15 year life and a $28,000 salvage value. 3. Compute the first-yeac depreciation expense on the land improvements assuming a five-year life and double-declining-balance depreciation Complete this question by entering your answers in the tabs below. Compote the first-year depreciation expense on the building using the straight-line method, assuming a 15 -year life and a \$28,000 salvage value. (Round your answer to the nearent whole dollar) Required information Problem 10-1A (Algo) Plant asset costs; depreciation methods LO C1, P1 [The following information applies to the questions displayed below] Timberly Construction makes a lump-sum purchase of several assets on January 1 at a total cash price of $830,000. The estimated market values of the purchased assets are building, $470,400; land, $307,200 : land improvements, $48,000, and four vehicles, $134.400. Problem 10-1A (Algo) Part 1-3 Required: 1-o. Allocate the lump-sum purchase pace to the separate assets purchased. 1.b. Prepare the joumal entry to record the purchase 2 Compute the first-year depreciation expense on the building using the straight-line method, assuming a 15 -year life and a $28,000 salvage value 3. Compute the first-year depreciation expense on the land improvements assuming a five-year life and double-declining-balance depreciation. Complete this question by entering your answers in the tabs below. Compute the first-year depreciation expense on the land improvernents astuming a five year ilfe and double-declining-balancedepreciation

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

Frank Woods Business Accounting

Authors: Frank Wood. Sangster, Alan

12th Edition

0273759280, 9780273759287

More Books

Students also viewed these Accounting questions