Analyze each of the following transactions by showing its effects on the accounting equation-specifically, identify the accounts andamounts including or -) for eachJanuary 1 Purchased equipment for $45,000 cash. Estimated useful life is six years and salvage value is $10,000.January 2 Paid $9,000 cash to install automated controls on equipment. This betterment did not impact useful life or salvage value.August 15 Paid $340 cash for winor repair costs to equipment.DateJanuary 01January 01January 02January 02August 15AssetsW=*Liabilities*4Equity

The basic formula for accounting is Assets = Liabilities + Equity. This equation is reflected in the…

Analyze each of the following transactions by showing its effects on the accounting equation-specifically identify the accounts and amounts (including or-for each January 1 Purchased equipment for $45,000 cash, Estimated useful life is six years and salvage value is $10,000. January 2 Paid $5,000 cash to install automated controls on equipment. This betterment did not impact useful life or salvage value. August 15 Paid $340 cash for winor repair costs to equipment. Date January 01 January 01 January 02 January 02 August 15 Assets Liabilities . Equity

Analyze each of the following transactions by showing its effects on the accounting equation-specifically identify the accounts and amounts (including or-for each January 1 Purchased equipment for $45,000 cash, Estimated useful life is six years and salvage value is $10,000. January 2 Paid $5,000 cash to install automated controls on equipment. This betterment did not impact useful life or salvage value. August 15 Paid $340 cash for winor repair costs to equipment. Date January 01 January 01 January 02 January 02 August 15 Assets Liabilities . Equity

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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The following is a tabular summary relating to equipment that was purchased for cash by a company on the first day of the current year. The equipment was depreciated on a straight-line basis with an estimated useful life of 10 years and a salvage value of $90. Part of the equipment was sold on the last day of the current year for cash proceeds. Use the information in the tabular summary to derive the missing amounts: (a) Purchase of equipment on January 1. What was the cash paid? (b) Depreciation recorded on December 31. What was the depreciation expense? (c) Sale of part of the equipment on December 31. What was the gain on disposal Assets = Liabilities + Stockholders' Equity Retained Earnings Cash + Equipment - Accum. Depr. - Equip. = + Common Stock + Revenue - Expense - Dividend Jan. 1 (a) $ $1,150 Dec. 31 $106 (b) $ Dec. 31 446 -426 40 (c) $
Assets = A Liabilities = L Stockholders' Equity = SE On March 1st2018,Bulldozer Inc purchases a forklift for $65,000. The expected salvage value is $10,000 and the forklift is expected to have a useful life of 10 years. Calculate the first years depreciation expense as of 12/31/2018, utilizing the straight line method, and book the JE of the depreciation below. write a journal entry.
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