Required Information Problem 7-7A Compute depreciation, amortization, and book value of long-term assets (LO7-4, 7-5) [The following Information applies to the questions displayed below.] Solich Sandwich Shop had the following long-term asset balances as of December 31, 2021: Land Building Equipment Patent Cost Accumulated Depreciation Book Value $ 84,000 449,000 $ 84,000 202,200 195,000 $(85,310) (47,800) (78,000) 363,690 154,400 117,000 Solich purchased all the assets at the beginning of 2019 (3 years ago). The building is depreciated over a 20-year service life using the double-declining-balance method and estimating no residual value. The equipment is depreciated over a 8- year useful life using the straight-line method with an estimated residual value of $11,000. The patent is estimated to have a five-year service life with no residual value and is amortized using the straight-line method. Depreciation and amortization have been recorded for 2019 and 2020. Problem 7-7A Part 1 Required: 1. For the year ended December 31, 2021, record depreciation expense for buildings and equipment. Land is not depreciated. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) View transaction list Journal entry worksheet > 1 2 Record the depreciation on the building. Note: Enter debits before credits. Transaction 1 General Journal Debit Credit > Required Information Problem 7-7A Compute depreciation, amortization, and book value of long-term assets (LO7-4, 7-5) [The following Information applies to the questions displayed below.] Solich Sandwich Shop had the following long-term asset balances as of December 31, 2021: Land Building Equipment Patent Cost Accumulated Depreciation Book Value $ 84,000 449,000 202,200 195,000 $ 84,000 $(85,310) (47,800) (78,000) 363,690 154,400 117,000 Solich purchased all the assets at the beginning of 2019 (3 years ago). The building is depreciated over a 20-year service life using the double-declining-balance method and estimating no residual value. The equipment is depreciated over a 8- year useful life using the straight-line method with an estimated residual value of $11,000. The patent is estimated to have a five-year service life with no residual value and is amortized using the straight-line method. Depreciation and amortization have been recorded for 2019 and 2020. Problem 7-7A Part 1 Required: 1. For the year ended December 31, 2021, record depreciation expense for buildings and equipment. Land is not depreciated. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account fleld.) View transaction list Journal entry worksheet > 1 2 Record the depreciation on the equipment. Note: Enter debits before credits. Transaction 2 General Journal Debit Credit > Required Information Problem 7-7A Compute depreciation, amortization, and book value of long-term assets (LO7-4, 7-5) [The following Information applies to the questions displayed below.] Solich Sandwich Shop had the following long-term asset balances as of December 31, 2021: Land Building Equipment Patent Cost Accumulated Depreciation Book Value $ 84,000 449,000 202,200 195,000 $ 84,000 $(85,310) (47,800) (78,000) 363,690 154,400 117,000 Solich purchased all the assets at the beginning of 2019 (3 years ago). The building is depreciated over a 20-year service life using the double-declining-balance method and estimating no residual value. The equipment is depreciated over a 8- year useful life using the straight-line method with an estimated residual value of $11,000. The patent is estimated to have a five-year service life with no residual value and is amortized using the straight-line method. Depreciation and amortization have been recorded for 2019 and 2020. Problem 7-7A Part 2 2. For the year ended December 31, 2021, record amortization expense for the patent. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account field.) View transaction list Journal entry worksheet > 1 Record the amortization on the patent. Note: Enter debits before credits. Transaction 1 General Journal Debit Credit Required Information Problem 7-7A Compute depreciation, amortization, and book value of long-term assets (LO7-4, 7-5) [The following Information applies to the questions displayed below.] Solich Sandwich Shop had the following long-term asset balances as of December 31, 2021: Land Building Equipment Patent Cost $ 84,000 449,000 202,200 195,000 Accumulated Depreciation Book Value $ 84,000 $(85,310) (47,800) (78,000) 363,690 154,400 117,000 Solich purchased all the assets at the beginning of 2019 (3 years ago). The building is depreciated over a 20-year service life using the double-declining-balance method and estimating no residual value. The equipment is depreciated over a 8- year useful life using the straight-line method with an estimated residual value of $11,000. The patent is estimated to have a five-year service life with no residual value and is amortized using the straight-line method. Depreciation and amortization have been recorded for 2019 and 2020. Problem 7-7A Part 3 3. Calculate the book value for each of the four long-term assets at December 31, 2021. SOLICH SANDWICH SHOP December 31, 2021 Land Building Equipment Patent Book value