ces ! Required information E9-11 (Algo) Demonstrating the Effect of Book Value on Reporting an Asset Disposal [LO 9-5] [The following information applies to the questions displayed below.] Movelt Corporation is the world's leading express-distribution company. In addition to its 643 aircraft, the company has more than 57,000 ground vehicles that pick up and deliver packages. Assume that Movelt sold a delivery truck for $17,000. Movelt had originally purchased the vehicle and recorded it in the Truck account for $29,000 and had recorded depreciation for three years, E9-11 (Algo) Part 4 4. Prepare the journal entry to record the disposal of the truck, assuming Accumulated Depreciation-Truck was (a) $12,000, (b) $8,000, and (c) $14,000. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

ces ! Required information E9-11 (Algo) Demonstrating the Effect of Book Value on Reporting an Asset Disposal [LO 9-5] [The following information applies to the questions displayed below.] Movelt Corporation is the world's leading express-distribution company. In addition to its 643 aircraft, the company has more than 57,000 ground vehicles that pick up and deliver packages. Assume that Movelt sold a delivery truck for $17,000. Movelt had originally purchased the vehicle and recorded it in the Truck account for $29,000 and had recorded depreciation for three years, E9-11 (Algo) Part 4 4. Prepare the journal entry to record the disposal of the truck, assuming Accumulated Depreciation-Truck was (a) $12,000, (b) $8,000, and (c) $14,000. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)

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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E9-11 (Algo) Demonstrating the Effect of Book Value on Reporting an Asset Disposal [LO 9-5] [The following information applies to the questions displayed below.] Movelt Corporation is the world's leading express-distribution company. In addition to its 643 aircraft, the company has more than 57,000 ground vehicles that pick up and deliver packages. Assume that Movelt sold a delivery truck for $27,000. Movelt had originally purchased the vehicle and recorded it in the Truck account for $45,000 and had recorded depreciation for three years. E9-11 (Algo) Part 1 Required: 1. Calculate the amount of gain or loss on disposal, assuming that Accumulated Depreciation-Truck was (a) $18,000, (b) $12,000, and (c) $21,000. (Select "None" if there is no Gain or Loss.) Gain/Loss Amount (a) None (b) Loss (c) Gain
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E9-9 (Algo) Computing Depreciation under Alternative Methods [LO 9-3] Sonic Corporation purchased and installed electronic payment equipment at its drive-in restaurants in San Marcos, TX, at a cost of $54,000. The equipment has an estimated residual value of $2,700. The equipment is expected to process 271,000 payments over its three-year useful life. Per year, expected payment transactions are 65,040, year 1; 149,050, year 2; and 56,910, year 3. Required: Complete a depreciation schedule for each of the alternative methods. 1. Straight-line. 2. Units-of-production. 3. Double-declining-balance. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Complete a depreciation schedule for the double-declining-balance method. (Do not round intermediate calculations.) Income Statement Balance Sheet Year Depreciation Expense Cost Accumulated Depreciation Book Value At acquisition 1 $ 2 3 68,148 $ ☑ $ 54,000 $ 68,148 54,000 ☑ × > $ 54,000
This question relate with MFRS 116 (Property, Plant and Equipment)
Klingon Widgets, Incorporated, purchased new cloaking machinery three years ago for $5.2 million. The machinery can be sold to the Romulans today for $7.4 million. Klingon's current balance sheet shows net fixed assets of $4 million, current liabilities of $830,000, and net working capital of $142,000. If all the current accounts were liquidated today, the company would receive $945,000 cash. a. What is the book value of Klingon's total assets today? Note: Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e.g., 1,234,567. b. What is the sum of the market value of NWC and the market value of fixed assets? Note: Do not round intermediate calculations and enter your answer in dollars, not millions of dollars, rounded to the nearest whole number, e.g., 1,234,567. a. Book value of total assets b. Sum of market value of NWC and fixed assets
Presented below is net asset information related to the Shamrock Division of Santana, Inc. Shamrock Division Net Assets As of December 31, 2025 (in millions) Cash $67 Accounts receivable 200 Property, plant, and equipment (net) 2,611 Goodwill 217 Less: Notes payable Net assets (2,606) $489 The purpose of the Shamrock Division is to develop a nuclear-powered aircraft. If successful, traveling delays associated with refueling could be substantially reduced. Many other benefits would also occur. To date, management has not had much success and is deciding whether a write-down at this time is appropriate. Management estimated its future net cash flows from the project to be $410 million. Management has also received an offer to purchase the division for $335 million (deemed an appropriate fair value). All identifiable assets' and liabilities' book and fair value amounts are the same. (a) Prepare the journal entry to record the impairment at December 31, 2025. (If no entry is required,…
Required information [The following information applies to the questions displayed below.] Karane Enterprises, a calendar-year manufacturer based in College Station, Texas, began business in 2022. In the process of setting up the business, Karane has acquired various types of assets. Below is a list of assets acquired during 2022: Cost Date Placed in Asset Office furniture Machinery Used delivery truck* Service $ 400,000 1,810,000 90,000 02/03/2022 07/22/2022 08/17/2022 *Not considered a luxury automobile. During 2022, Karane was very successful (and had no §179 limitations) and decided to acquire more assets in 2023 to increase its production capacity. These are the assets acquired during 2023: Date Placed in Asset Luxury auto* Computers and information system Assembly equipment Storage building *Used 100% for business purposes. Cost Service $ 450,000 92,500 1,450,000 03/31/2023 05/26/2023 08/15/2023 800,000 11/13/2023 Karane generated taxable income in 2023 of $1,795,000 for purposes…
! Required information [The following information applies to the questions displayed below.] VQT Companies is the world's leading express-distribution company. In addition to its 643 aircraft, the company has more than 57,000 ground vehicles that pick up and deliver packages. Assume that VQT sold a delivery truck for $29,000. VQT had originally purchased the vehicle and recorded it in the Truck account for $49,000 and had recorded depreciation for three years. 4. Prepare the journal entry to record the disposal of the truck, assuming Accumulated Depreciation--Truck was (a) $20,000, (b) $17,000, and (c) $25,000. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)
KA. GG Shipping is a shipping line which treats its ships as complex non-current assets. The cost and other details of one of its ships are: GHS’000 estimated life Exterior structure – purchase date 1 April 2008 120,000 Interior cabin fittings – replaced 1 April 2018 25,000 Engines (5 at GHS9 million each) – replaced 1 April 2018 45,000 No residual values are attributed to any of the component parts. 20 years 5 years 36,000 sailing hours At 1 April 2021 the ship log showed it had sailed 10,800 hours since 1 April 2018. In the year ended 31 March 2022, the ship sailed for 1,200 hours for the six months to 30 September 2021 and a further 1,000 hours in the six months to 31 March 2022. On 1 October 2021 the ship suffered a ‘collision’ an accident which damaged one of the engines beyond repair. This was replaced by a new engine with a life of 36,000 hours at cost of GHS10·8 million. Another engine was also damaged, but was repaired at a cost of GHS3 million; however, its remaining…
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Saved Help Save E8-16 (Algo) Recording the Disposal of an Asset at Three Different Sale Prices LO8-5 Enter your search term Fast Delivery is the world's largest express transportation company. In addition to the world's largest fleet of all-cargo aircraft, the company has more than 669 aircraft and 57,000 vehicles and trailers that pick up and deliver packages. Assume that Fast Delivery sold a delivery truck that had been used in the business for three years. The records of the company reflected the following: Delivery truck cost Accumulated depreciation $ 48,000 32,900 Required: 1. Prepare the journal entry for the disposal of the truck, assuming that the truck sold for: (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) a. $15,100 cash b. $16,400 cash c. $13,300 cash View transaction list Journal entry worksheet earch 49°F
Presented below is net asset information related to the Metlock Division of Horton, Inc. Cash Receivable Property, plant, and equipment (net) Goodwill METLOCK DIVISION NET ASSETS AS OF DECEMBER 31, 2025 (IN MILLIONS) Less: Notes payable Net assets (a) $50 151 2,063 160 (2,141) $283 The purpose of the Metlock division is to develop a nuclear-powered aircraft. If successful, traveling delays associated with refueling could be substantially reduced. Many other benefits would also occur. To date, management has not had much success and is deciding whether a write-down at this time is appropriate. Management estimated its future net cash flows from the project to be $322 million. Management has also received an offer to sell the division for $281 million. The book values and fair values are equal for all identifiable assets and liabilities. Prepare the journal entry (if any) to record the impairment at December 31, 2025. (Enter amounts in millions. If no entry is required, select "No Entry"…