The fixed assets have estimated useful lives as follows: Building 31.5 years, Computer Equipment 5.0 years, Office Equipment 7.0 years. Use the straight-line method of depreciation. Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building's scrap value is $8,500. The office equipment has a scrap value of $450. The computer equipment has no scrap value. Calculate the depreciation for one month.

I entered: Building depr. $294.97, Computer equipment depr. $3392.67, Office equipment $22.18 and they're incorrect. Please advise where my error is.

Description of transaction June 1: Hudson Bloom invested $159,328.00 cash and computer equipment with a fair market value of $39,520.00 in his new business, Byte of Accounting. 02. June 1: Check # 5000 was used to purchased computer equipment costing $14,040.00 from The invoice number was 20117. 03. June 1: Check # 5001 was used to purchased office equipment costing $988.00 from Office Express. The invoice number was 87417. June 2: Check # 5002 was used to make a down payment of S30,000.00 on additional computer equipment 04. that was purchased from Royce Computers, invoice number 76542. The full price of the computer was $150,000.00. A five-year note was executed by Byte for the balance. June 4: Additional office equipment costing $500.00 was purchased on credit from Discount Computer 05. Corporation. The invoice number was 98432. June 8: Unsatisfactory office equipment costing $100.00 from invoice number 98432 was returned to Discount Computer for credit to be applied against the outstanding balance owed by Byte, 07 June 10: Check # 5003 was used to make a $23,000.00 payment reducing the prinicpal owed on the June 2 purchase of computer equipment from Royce Computers. June 14: Check #5004 was used to purchase a one-year insurance policy covering its computer equipment for 08. $6,312.00 from Seth's Insurance. The effective date of the policy was June 16 and the invoice number was 2387. 09. June 16: A check in the amount of $8,250.00 was received for services performed for Pitman Pictures. June 16: Byte purchased a building and the land it is on for $143,000.00 to house its repair facilities and to store computer equipment. The lot on which the building is located is valued at $23,000.00. The balance of the cost is to be allocated to the building. Check # 5005 was used to make the down payment of $14,300.00. A thirty year mortgage with an inital payement due on August 1st, was established for the balance. 11. June 17: Check # 5006 for $4,800.00 was paid for rent of the office space for June, July and August 12. June 17: Received invoice number 26354 in the amount of $275.00 from the local newspaper for advertising. 13. June 21: Accounts payable in the amount of $400.00 were paid with Check # 5007. June 21: Check # 5008 was used to purchase a fax machine for the office from Office Machines Express for ** $825.00. The invoice number was 975-328. 14. 15. June 21: Billed various miscellaneous local customers $4,600.00 for consulting services performed. June 22: Check # 5009 was used to pay salaries of $1,035.00 to equipment operators for the week ending June 18. Ignore payroll taxes. 17. June 22: Received a bill for $1,215.00 from Computer Parts and Repair Co. for repairs to the computer equipment. The invoice number was 43254. 18. June 22: Check # 5010 was used to pay the advertising bill that was received on June 17. 19. June 23: Purchased office supplies for $680.00 from Staples on account. The invoice number was 65498. 19. June 23: Purchased oflice supplies for $680.00 from Staples on account. The invoice number was 65498. 20. June 23: Cash in the amount of $3,685.00 was received on billings. 21. June 28: Billed $5,280.00 to miscellaneous customers for services performed to June 25. 22. June 29: Paid the bill received on June 22, from Computer Parts and Repairs Co with Check #5011. 23. June 29: Cash in the amount of $5,001.00 was received for billings. June 29: Check #5012 was used to pay salaries of $1,035.00 to equipment operators for the week ending June 25. Ignore payroll taxes 25 June 30: Received a bill for the amount of $990.00 from O & GOil and Gas Co. The invoice number was *784537. June 30: Check #5013 was used to pay for airline tickets of $1,500.00 to send the kids to Grandma Ellen for the July 4th holiday. 2 Adjusting Entries - Round to two decimal places. 2 The rent payment made on June 17 was for June, July and August. Expense the amount associated with one "month's rent. 28. A physical inventory showed that only $281.00 worth of office supplies remained on hand as of June 30. 29. The annual interest rate on the mortgage payable was 9.00 percent. Interest expense for one-half month **should be computed because the building and land were purchased and the liability incurred on June 16. 30. Record a joumal entry to reflect that one half month's insurance has expired. A review of Byte's job worksheets show that there are unbilled revenues in the amount of $5,500.00 for the period of June 28-30. The fixed assets have estimated useful lives as follows: Building -31.5 years Computer Equipment - 5.0 years 32. Office Equipment -7.0 years Use the straight-line method of depreciation. Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building's scrap value is $8,500.00. The office equipment has a scrap value of $450.00. The computer equipment has no scrap value. Calculate the depreciation for one month. A review of the payroll records show that unpaid salaries in the amount of S621.00 are owed by Byte for three days, June 28 - 30. Ignore payroll taxes. The note payable to Royce Computers (transactions 04 and 07) is a five-year note, with interest at the rate of 12 percent annually. Interest expense should be computed based on a 360 day year. Closing Entries 35. Close the revenue accounts. 36. Close the expense accounts. 37. Close the income summary account 38. Close the withdrawals account. Description of transaction June 1: Hudson Bloom invested $159,328.00 cash and computer equipment with a fair market value of $39,520.00 in his new business, Byte of Accounting. 02. June 1: Check # 5000 was used to purchased computer equipment costing $14,040.00 from The invoice number was 20117. 03. June 1: Check # 5001 was used to purchased office equipment costing $988.00 from Office Express. The invoice number was 87417. June 2: Check # 5002 was used to make a down payment of S30,000.00 on additional computer equipment 04. that was purchased from Royce Computers, invoice number 76542. The full price of the computer was $150,000.00. A five-year note was executed by Byte for the balance. June 4: Additional office equipment costing $500.00 was purchased on credit from Discount Computer 05. Corporation. The invoice number was 98432. June 8: Unsatisfactory office equipment costing $100.00 from invoice number 98432 was returned to Discount Computer for credit to be applied against the outstanding balance owed by Byte, 07 June 10: Check # 5003 was used to make a $23,000.00 payment reducing the prinicpal owed on the June 2 purchase of computer equipment from Royce Computers. June 14: Check #5004 was used to purchase a one-year insurance policy covering its computer equipment for 08. $6,312.00 from Seth's Insurance. The effective date of the policy was June 16 and the invoice number was 2387. 09. June 16: A check in the amount of $8,250.00 was received for services performed for Pitman Pictures. June 16: Byte purchased a building and the land it is on for $143,000.00 to house its repair facilities and to store computer equipment. The lot on which the building is located is valued at $23,000.00. The balance of the cost is to be allocated to the building. Check # 5005 was used to make the down payment of $14,300.00. A thirty year mortgage with an inital payement due on August 1st, was established for the balance. 11. June 17: Check # 5006 for $4,800.00 was paid for rent of the office space for June, July and August 12. June 17: Received invoice number 26354 in the amount of $275.00 from the local newspaper for advertising. 13. June 21: Accounts payable in the amount of $400.00 were paid with Check # 5007. June 21: Check # 5008 was used to purchase a fax machine for the office from Office Machines Express for ** $825.00. The invoice number was 975-328. 14. 15. June 21: Billed various miscellaneous local customers $4,600.00 for consulting services performed. June 22: Check # 5009 was used to pay salaries of $1,035.00 to equipment operators for the week ending June 18. Ignore payroll taxes. 17. June 22: Received a bill for $1,215.00 from Computer Parts and Repair Co. for repairs to the computer equipment. The invoice number was 43254. 18. June 22: Check # 5010 was used to pay the advertising bill that was received on June 17. 19. June 23: Purchased office supplies for $680.00 from Staples on account. The invoice number was 65498. 19. June 23: Purchased oflice supplies for $680.00 from Staples on account. The invoice number was 65498. 20. June 23: Cash in the amount of $3,685.00 was received on billings. 21. June 28: Billed $5,280.00 to miscellaneous customers for services performed to June 25. 22. June 29: Paid the bill received on June 22, from Computer Parts and Repairs Co with Check #5011. 23. June 29: Cash in the amount of $5,001.00 was received for billings. June 29: Check #5012 was used to pay salaries of $1,035.00 to equipment operators for the week ending June 25. Ignore payroll taxes 25 June 30: Received a bill for the amount of $990.00 from O & GOil and Gas Co. The invoice number was *784537. June 30: Check #5013 was used to pay for airline tickets of $1,500.00 to send the kids to Grandma Ellen for the July 4th holiday. 2 Adjusting Entries - Round to two decimal places. 2 The rent payment made on June 17 was for June, July and August. Expense the amount associated with one "month's rent. 28. A physical inventory showed that only $281.00 worth of office supplies remained on hand as of June 30. 29. The annual interest rate on the mortgage payable was 9.00 percent. Interest expense for one-half month **should be computed because the building and land were purchased and the liability incurred on June 16. 30. Record a joumal entry to reflect that one half month's insurance has expired. A review of Byte's job worksheets show that there are unbilled revenues in the amount of $5,500.00 for the period of June 28-30. The fixed assets have estimated useful lives as follows: Building -31.5 years Computer Equipment - 5.0 years 32. Office Equipment -7.0 years Use the straight-line method of depreciation. Management has decided that assets purchased during a month are treated as if purchased on the first day of the month. The building's scrap value is $8,500.00. The office equipment has a scrap value of $450.00. The computer equipment has no scrap value. Calculate the depreciation for one month. A review of the payroll records show that unpaid salaries in the amount of S621.00 are owed by Byte for three days, June 28 - 30. Ignore payroll taxes. The note payable to Royce Computers (transactions 04 and 07) is a five-year note, with interest at the rate of 12 percent annually. Interest expense should be computed based on a 360 day year. Closing Entries 35. Close the revenue accounts. 36. Close the expense accounts. 37. Close the income summary account 38. Close the withdrawals account