S10-9 Selling an asset at gain or loss Learning Objective 3 Alpha Communication purchased equipment on January 1,2018, for $27,500, Suppose Alpha Communication sold the equipment for $20,000 on December 31, 2020. Accu mulated Depreciation as of December 31, 2020, was $10,000. Journalize the sale of the equipment, assuming straight-line depreciation was sed. Learning Obiective 3 ense on the plane using the following a. Straight-line h, Units-of-production Double-declining-balance Calculate the balance in Accumulated Depteciation at the end of the second year for all three methods. S10-5 Calculating partial-year depreciation On February 28, 2017, Rural Tech Support purchased a copy machine for $53,400. Rural Tech Support expects the machine to last for six years and have a residual value of $3,000. Compute depreciation expense on the machine for the year ended Decem- ber 31, 2017, using the straight-line method. S10-6 Changing the estimated life of an asset Assume that Smith's Auto Sales paid $45,000 for equipment with a 15-year life and zero expected residual value. After using the equipment for six years, the company determines that the asset will remain useful for only five more years. Requirements 1. Record depreciation expense on the equipment for Year 7 by the straight-line method. What is acumulated depreciation at the end of Year 7? S10-9 Selling an asset at gain or loss Learning Objective 3 Alpha Communication purchased equipment on January 1,2018, for $27,500, Suppose Alpha Communication sold the equipment for $20,000 on December 31, 2020. Accu mulated Depreciation as of December 31, 2020, was $10,000. Journalize the sale of the equipment, assuming straight-line depreciation was sed. Learning Obiective 3 ense on the plane using the following a. Straight-line h, Units-of-production Double-declining-balance Calculate the balance in Accumulated Depteciation at the end of the second year for all three methods. S10-5 Calculating partial-year depreciation On February 28, 2017, Rural Tech Support purchased a copy machine for $53,400. Rural Tech Support expects the machine to last for six years and have a residual value of $3,000. Compute depreciation expense on the machine for the year ended Decem- ber 31, 2017, using the straight-line method. S10-6 Changing the estimated life of an asset Assume that Smith's Auto Sales paid $45,000 for equipment with a 15-year life and zero expected residual value. After using the equipment for six years, the company determines that the asset will remain useful for only five more years. Requirements 1. Record depreciation expense on the equipment for Year 7 by the straight-line method. What is acumulated depreciation at the end of Year 7
