As of January 31, the following adjusting entry data are available.123.4.5.6.7.8.9.A count of brochures and posters reveals that none were used in JanuaryA count of baking supplies reveals that none were used in January.Another month's worth of depreciation needs to be recorded on the baking equipment bought in November. (Recall thatthe baking equipment has a useful life of 5 years or 60 months.)One month's worth of amortization (write-off) needs to be recorded on the website. (Recall that the website has a usefullife of 2 years or 24 months.)An additional month's worth of interest on her grandmother's loan needs to be accrued. (The interest rate is 9%)One month's worth of insurance has expired.Natalie receives her cell phone bill, $75. The bill is for services provided in January and is due February 15, (Recall thatthe cell phone is used only for business purposes.)An analysis of the unearned revenue account reveals that Natalie has not had time to teach any of these lessons thismonth because she has been so busy selling mixers. As a result there is no change to the unearned revenue account.Natalie hopes to schedule the outstanding lessons in February.An inventory count of mixers at the end of January reveals that Natalie has three mixers remaining.Prepare the adjusting journal entries required. (Credit account titles are automatically indented when amount is entered. Do not indentmanually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the orderpresented in the problem.)

Adjusting entries are typically made at the end of an accounting period, such as at the end of a…

1 2 3. A count of brochures and posters reveals that none were used in January A count of baking supplies reveals that none were used in January. Another month's worth of depreciation needs to be recorded on the baking equipment bought in November. (Recall that the baking equipment has a useful life of 5 years or 60 months.)

1 2 3. A count of brochures and posters reveals that none were used in January A count of baking supplies reveals that none were used in January. Another month's worth of depreciation needs to be recorded on the baking equipment bought in November. (Recall that the baking equipment has a useful life of 5 years or 60 months.)

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

8. Yoshi Company completed the following transactions and events involving its delivery trucks. Year 1 January 1 Paid $22,015 cash plus $1,485 in sales tax for a new delivery truck estimated to have a five-year life and a $2,450 salvage value. Delivery truck costs are recorded in the Trucks account. December 31 Recorded annual straight-line depreciation on the truck. Year 2 December 31 The truck’s estimated useful life was changed from five to four years, and the estimated salvage value was increased to $2,850. Recorded annual straight-line depreciation on the truck. Year 3 December 31 Recorded annual straight-line depreciation on the truck. December 31 Sold the truck for $5,600 cash. Required:1-a. Calculate depreciation for Year 2.1-b. Calculate book value and gain (loss) for sale of Truck on December 31, Year 3.1-c. Prepare journal entries to record these transactions and events.
A machine with a cost of $68,856 has an estimated residual value of $5,301 and an estimated life of 3 years or 15,143 hours. It is to be depreciated by the units-of-activity method. What is the amount of depreciation for the second full year, during which the machine was used 4,595 hours? Do not round your intermediate calculations. a. $21,185.00 b. $42,370.00 c. $19,285.16 d. $20,893.70
Can I have help solving this problem I keep getting it wrong.
On January 1, Year 2, Webb Construction Company overhauled four cranes resulting in a slight increase in the life of the cranes. Such overhauls occur regularly at two-year intervals and have been treated as maintenance expense in the past. Management is considering whether to capitalize this year's $28,310 cash cost expense. Assume that the cranes have a remaining useful life of two years and no expected salvage value. Assume straight-line depreciation. the Cranes asset account or to expense it as a maintenance Required a. Determine the amount of additional depreciation expense Webb would recognize in Year 2 and Year 3 if the cost were capitalized in the Cranes account. b. Determine the amount of expense Webb would recognize in Year 2 and Year 3 if the cost were recognized as maintenance expense. c. Determine the effect of the overhaul on cash flow from operating activities for Year 2 and Year 3 if the cost were capitalized and expensed through depreciation charges. (Cash outflows…
Chahal Company’s fiscal year-end is December 31. The company purchased a machine costing $129,000 on April 1, 2022. The machine is expected to be obsolete after five years (60 months), and thereafter no longer useful to the company. The estimated salvage value is $6,000. The company’s depreciation policy is to record depreciation for the portion of the year that the asset is in service. Compute depreciation expense for 2022 under the straight‑line depreciation method. (Round your answer to the nearest whole number. Do not include a $ sign in your answer.)
White Mountain Supply Company purchases warehouse shelving for $18,400. Shipping charges were $370, and assembly and setup amounted to $375. The shelves are expected to last for 8 years and have a scrap value of $700: Use the straight-line method of depreciation to answer the questions. (Round your answers to the nearest cent.) (a) What is the annual depreciation expense (in $) of the shelving)
A Kubota tractor acquired on January 8 at a cost of $54,000 has an estimated useful life of 10 years. Assuming that it will have no residual value. a. Determine the depreciation for each of the first two years by the straight-line method. First Year Second Year $ b. Determine the depreciation for each of the first two years by the double-declining-balance method. Do not round the double-declining balance rate. If required, round your final answers to the nearest dollar. First Year Second Year
Please Correct answer with Explanation And Do not Give solution in image format
9. A company purchased and installed equipment on January 1 at a total cost of $72,000. Straight-line depreciation was calculated based on the estimate of a five-year life and no salvage value. The equipment was disposed of on January 1 of the fourth year. The company uses the calendar year. Prepare the general journal entry to record the disposal of the equipment under each of these independent situations: a. The equipment was sold for $29,000 cash. b. The equipment was sold for $21,000 cash.
38
Dexter Industries purchased packaging equipment on January 8 for $116,600. The equipment was expected to have a useful life of three years, or 20,000 operating hours, and a residual value of $6,600. The equipment was used for 8,700 hours during Year 1, 7,380 hours in Year 2, and 3,920 hours in Year 3. Determine the amount of depreciation expense for the three years ended December 31 by (a) the double-declining-balance method. Also determine the total depreciation expense for the year by this method. (Note: For the Declining Balance, round the multiplier to five decimal places. Then round the answer for the year to the nearest whole dollar.)
Willow Creek Company purchased and installed carpet in its new general offices on April 30 for a total cost of $36,288. The carpet is estimated to have a 16-year useful life and no residual value. A. Prepare the journal entry necessary for recording the purchase of the new carpet. Refer to the Chart of Accounts for exact wording of account titles. B. Record the December 31 adjusting entry for the partial-year depreciation expense for the carpet, assuming that Willow Creek Company uses the straight-line method. Refer to the Chart of Accounts for exact wording of account titles. CHART OF ACCOUNTS Willow Creek Company General Ledger ASSETS 110 Cash 111 Petty Cash 112 Accounts Receivable 114 Interest Receivable 115 Notes Receivable 116 Merchandise Inventory 117 Supplies 119 Prepaid Insurance 120 Land 123 Carpet 124 Accumulated Depreciation-Carpet 125 Equipment 126 Accumulated Depreciation-Equipment 130 Mineral Rights 131…