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- On 01 March 2021 , old equipment with a useful life of six years was sold for R3000 cash . The cost price of equipment sold was R12000 and the accumulated depreciation on it amounted to R10000 on 01 March 2021 Depreciation is calculated using the straight line method. Depreciation on the remaining amounted to R48000 on 28 February 1. Prepare the asset disposal account in the general ledger. Close off the account . 2. Calculate the balance in accumulated depreciation for equipment account as at 28 February 2022. 3. calculate The profit or loss on the disposal, if the equipment was sold 28 February 2022onsider the following data on an asset:Cost of the asset, I $235,000Useful life, N 5 yearsSalvage value, S $ 60,000Compute the annual depreciation allowances and theresulting book values, using(a) The straight-line depreciation method.(b) The double-declining-balance methodOn January 1, 2023, a machine was purchased for $105,000. The machine has an estimated salvage value of $6,420 and an estimated useful life of 5 years. The machine can operate for 106,000 hours before it needs to be replaced. The company closed its books on December 31 and operates the machine as follows: 2023, 21,200 hours; 2024, 26,500 hours; 2025, 15,900 hours: 2026, 31,800 hours; and 2027, 10,600 hours. Compute the annual depreciation charges over the machine's life assuming a December 31 year-end for each of the following depreciation methods. (Round rate per hour to 2 decimal places, e.g. 15.25 and final answers to 0 decimal places, e.g. 45,892.) 1. Straight-line Methodi $ 2. Activity Method Year 2023 2024 2025 $ 19,716 19,716 24,645 14,787
- How did you find the depreciation rate to be 16.67%Consider the following data on an asset:Cost of the asset, I $38.000Useful life. N 6 yearsSalvage value. S $0Compute the annual depreciation allowances and the resulting book values by using the DOB method and then switching to the SL method.Q.11. Land shown in the books at $600,000 was revalued as 1,000,000. What journal entries will be passed at the time of revaluation and at the end of year. Under what head, gain on revaluation will be shown in the Income statement?
- 3.A machine with a cost of? S20,000, a salvage value of? S8,000 and expected life of 15 years was purchased on September 1. For a calendar year?company, the journal entry to record depreciation expense for the first year would be? to: А. debit Depreciation? Expense, $200; credit Accumulated? Depreciation, $200. В. debit Depreciation? Expense, S67; credit Accumulated? Depreciation, $67. C. debit Depreciation? Expense, S267; credit Accumulated? Depreciation, $267. D. debit Depreciation? Expense, S333; credit Accumulated? Depreciation, S333.An asset which costs $25,000 and has accumulated depreciation of $6,000 is sold for $11,000. What amount of gain or loss will be recognized when the asset is sold? a. A gain of $14,000 b. A loss of $14,000 c. A gain of $8,000 d. A loss of $8,000A fixed asset with a cost of $26,000 and accumulated depreciation of $23,400 is sold for $4,420. What is the amount of the gain or loss on the sale of the fixed asset? Oa. $2,600 loss Ob. $2,600 gain Oc. $1.820 loss Od. $1,820 gain Previous Next 7:04 PM 12/11/2020 18 a
- If the equipment account has a balance of $52,000 and its accumulated depreciation account has a balance of $10,000, what would be the book value of the equipment? Group of answer choices $10,000 $62,000 $42,000 $52,000Consider the following accounting information for a computer system: Cost basis of the asset, I = $10,000, Useful life, N = 5 years, Estimated salvage value, S = $0. Use the double-declining-depreciation method to compute the annual depreciation allowances and the resulting book values.(c) Compute the amount of depreciation for each of Years 1 through 3 using the depreciation rate to 2 decimal places, e.g. 15.84% and final answers to 0 decimal places, e.g. 45,892.) Depreciation for Year 1 Depreciation for Year 2 Depreciation for Year 3 eTextbook and Media LA $ $ LA double-declining-balance method. (Round $ Assistance Us