Do fast answer of this accounting questions ABC Company purchased $5,000 of office supplies, initiallyrecording them as assets. At the end of the year, a physical countreveals $2,000 of supplies remain unused. The adjusting entryneeded at year end will

Step 1: Adjusting Entries:-Adjusting entries are those entries which are passed for adjustments.…

Answered: ABC Company purchased $5,000 of office…

SWFT Comprehensive Volume 2019

42nd Edition

ISBN:9780357233306

Author:Maloney

Publisher:Maloney

Chapter8: Depreciation, Cost Recovery, Amortization, And Depletion

Section: Chapter Questions

Problem 30CE

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Wolfpack Corp. has determined it should record depreciation expense of $40,000 for the year ending 12/31/X7. Required: In the general journal below, complete the year-end entry to record depreciation. Debit Credit Dec 31 ? 40,000 ? 40,000
ABC Township purchases $15,000 of supplies on account toward the end of the year. A year-end audit reveals that $4,000 of the inventories remain unused. Prepare the journal entry for the purchase of the inventories and the year-end adjusting entry, assuming that the purchases method is used.
An asset's book value is $25,200 on January 1, Year 6. The asset is being depreciated $350 per month using the straight-line method. Assuming the asset is sold on July 1, Year 7 for $17,900, the company should record:
At the beginning of the current year, Andy Company has equipment that originally cost $70,000, has $49,000 accumulated depreciation, and is being depreciated at $7,000 per year. Andy sells this equipment for $15,500 at the end of the current year. Required: Prepare journal entries to record both the current year’s depreciation and the disposal of the equipment.
On January 1, Masterson Supply purchased a small storage building for $20,400 to be used over a five-year period. The building has no residual value. Early in the fourth year, the storage building burned down. Record the retirement of the remaining book value of the storage building. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)
Sheridan's Repair Service uses the straight-line method of depreciation. The company's fiscal year-end is December 31. The following transactions and events occurred during the first three years. Purchased equipment from the Equipment Center for $7,900 cash plus sales tax of $580, and shipping costs of $490. 2021 July 1 Nov. 3 Incurred ordinary repairs on computer of $280. Dec. 31 Recorded 2021 depreciation on the basis of a four-year life and estimated salvage value of $450. 2022 Dec. 31 Recorded 2022 depreciation. Paid $2,900 fora major upgrade of the equipment. This expenditure is expected to increase the operating efficiency and capacity of the equipment. 2023 Jan. 1 Prepare the necessary entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. Record journal entries in the order presented in the problem.) Prepare the necessary…
On April 30, Year 1, Tilton Products purchased machinery for $44,000. The machinery is expected to have an 8-year life and an estimated residual value of $4,000. Tilton uses a calendar year-end for financial reporting. Refer to the information above. In Year 7, Tilton Products sells this machinery for $2,000. At the date of sale, the machinery had been depreciated by Tilton Products to its estimated residual value of $4,000. This sale results in Multiple Choice No gain or loss in either the financial statements or the income tax return. A $2,000 loss in the financial statements; a $2.000 gain in the income tax return. A $2,000 loss in both the company's financial statements and its income tax return A $2,000 loss in the financial statements, but no gain or loss in the income tax return.
On April 30, Year 1, Tilton Products purchased machinery for $44,000. The useful life of this machinery is estimated at 8 years, with an $4,000 residual value. Tilton uses a calendar year - end for financial reporting. Assume that in its financial statements, Tilton Products uses the 150% - declining - balance method and the half-year convention. Depreciation expense in Year 1 and Year 2 will be: Multiple Choice $4, 125 in Year 1 and $7.477 in Year 2. $8, 250 in Year 1 and $8, 250 in Year 2. $7,500 in Year 1 and $6, 844 in Year 2. $8, 250 in Year 1 and $7,477 in Year 2.
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Foley Word Processing Service uses the straight-line method of depreciation. The company's fiscal year end is December 31. The following transactions and events occurred during the first three years. 2020, July 1 Purchased a computer from the Computer Center for $1,900 cash plus sales tax of $150, and shipping costs of $50. Nov. 3 Incurred ordinary repairs on computer of $140. Dec. 31 Recorded 2020 depreciation on the basis of a four year life and estimated salvage value of $500. 2021, Dec. 31 Recorded 2021 depreciation. 2022, Jan. 1 Paid $300 for an upgrade of the computer. This expenditure is expected to increase the operating efficiency and capacity of the computer. Prepare the necessary entries. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and…

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ABC Company purchased $5,000 of office supplies, initially recording them as assets. At the end of the year, a physical count reveals $2,000 of supplies remain unused. The adjusting entry needed at year end will