A man bought a machine for $ 984,017 six years ago. It has a salvage value of $ 36,879 four years from now. He sold it now for $ 42,216. What is the sunk cost or the value of the machine that the man lost if the depreciation
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A man bought a machine for $ 984,017 six years ago. It has a salvage value of $ 36,879 four years from now. He sold it now for $ 42,216. What is the sunk cost or the value of the machine that the man lost if the
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- Warren Enterprises purchased a van for $21,510. The van has a salvage value of $3,800, and an estimated useful life of eight years. Warren plans to use the straight line method of depreciation. The accumulated depreciation at the end of year 3 would be $___ Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.Lou Lou and Company purchased a piece of machinery 2 years ago for $50,000 and has depreciation to date of $15,000. The fair market value of the asset is $30,000, but the company believes it can achieve $34,000 in net future cash flows from the asset. Costs to dispose of the asset is $200. Assuming the asset is held for use, determine if the asset is impaired. If so, what is the amount of the write-off? The asset is impaired and Lou Lou should record a $1,000 loss on impairment. The asset is impaired and Lou Lou should record a $5,200 loss on impairment. The asset is NOT impaired. The asset is impaired and Lou Lou should record a $5,000 loss on impairment.Jake parchased a $235,000 crane for his constraction business. He sold the crane for $175,000 after taking $115,000 of depreciation. Assume take is What is the amount of gain or loss on the sale?
- Reeseco inc is specialty chemical compounding company. The company has 4 high precision compounding mixers and one manual mixer. The manual mixer was purchased six years ago for $52,000. It was being depreciated over eight years using straight-line depreciation without taking salvage value into consideration. Reeseco inç has decided to sell the old mixer to another firm. Assume that depleciation is up to date. a. DATE Make the required journal entry to record the sale assuming that Kenco received 15,500 in cash for the old mixer. Make the required journal entry to record the sale assuming that Kenco received 10,000 in cash for the old system. ACCOUNT DR CRHampton Inc. purchased a machine to use in its business. The machine is estimated to have an economic life of 10 (ten) years before it becomes obsolete. The company expects to use the machine for 4 (four) years before it sells the machine to another company. Hampton uses the straight-line depreciation method. Question: How many years should Hampton depreciate this asset over? (4,7,10, or 14)On May 1, 2017 Merron Inc. sold a machine that it no longer had any use for. Merron sold the machine for $2,000 cash. The original cost of the machine was $32,000 and at December 31, 2016 the accumulated depreciation on the machine was $26,000. The machine had an original useful life of 10 years with zero estimated residual value. Merron uses the straight-line method to depreciate all of their machines. Required: Prepare the journal entries required for this transaction.
- John Morse Corporation buys a van for $16,000. The estimated life of the van is four years. The residual value of the van is $4,000. After two years, the van is sold for $8,000. What was the difference between the book value and the amount received from selling the van if John used the straight-line method of depreciation?You have been retained to assist in the purchase of a taco truck.The owner did not keep very good accounts, but you hired an appraiser who determined:The truck itself is worth $7,500 and probably has about 3 more years of life in it. There is no salvage value to the truck.The kitchen equipment inside the truck is relatively new and worth $12,000 at present.This equipment is heavy-duty and should last another ten years before being scrapped, i.e. no salvage value.The owner has a long-term lease with 3 remaining years that you will assume. The lease has no independent value.The lease allows the truck to be parked and provides a small garage space in which you have a refrigeratorand you keep other items of inventory such as food preparation materials and paper goods.The refrigerator is worth $10,000 and has seven years of life. It will probably be worth $2,000 after seven years.The inventory consists of $4,500 worth of paper goods--napkins, plates, bags, as well as plastic utensils.The…A copy machine costs $45,000 when new and has accumulated depreciation of $44,000. Suppose Print and Photo Center junks this machine and receives nothing. What is the result of the disposal transaction? a. No gain or loss b. Gain of $1,000 c. Loss of $1,000 d. Loss of $45,000
- ABC Company finds its records are incomplete concerning a piece of equipment used in its plant. According to the company records, the equipment has an estimated useful life of 10 years and an estimated salvage value of Php24,000. It has recorded Php12,000 in depreciation each year using the straight-line method. If the accumulated depreciation account shows a balance of Php72,000, what is the original cost of the equipment and how many years remain to be depreciated?Can I please get assistance with this question and an explaination?(5.11) Onslow Company purchased a used machine for $240,000 cash on January 2. On January 3, Onslow paid $10,000 to wire electricity to the machine. Onslow paid an additional $2,000 on January 4 to secure the machine for operation. The machine will be used for six years and have a $28,800 salvage value. Straight-line depreciation is used. On December 31, at the end of its fifth year in operations, it is disposed of. 3. Prepare journal entries to record the machine’s disposal under each separate situation: (a) it is sold for $23,000 cash and (b) it is sold for $92,000 cash. Record the sale of the used machine for $23,000 cash. Note: Enter debits before credits. Date General Journal Debit Credit December 31 Record the sale of the used machine for $92,000 cash. Note: Enter debits before credits.…Please help me with this question: Holmes Packaging sold a machine for $49,500. The company bought this machine for $120,000 seven years ago and was depreciating it on a straight-line basis over ten years to a $12,000 salvage value. What is the gain (loss) that Holmes Packaging should report?
