Diaz Company owns a machine that cost $126,100 and has accumulated depreciation of $93,500. Prepare the entry to record the disposal of the machine on January 1 in each separate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2. Diaz sold the machine for $17,400 cash. 3. Diaz sold the machine for $32,600 cash. 4. Diaz sold the machine for $40,200 cash.
Diaz Company owns a machine that cost $126,100 and has accumulated depreciation of $93,500. Prepare the entry to record the disposal of the machine on January 1 in each separate situation. 1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return. 2. Diaz sold the machine for $17,400 cash. 3. Diaz sold the machine for $32,600 cash. 4. Diaz sold the machine for $40,200 cash.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Diaz Company owns a machine that cost $126,100 and has accumulated depreciation of $93,500. Prepare the entry to record the
disposal of the machine on January 1 in each separate situation.
1. The machine needed extensive repairs and was not worth repairing. Diaz disposed of the machine, receiving nothing in return.
2. Diaz sold the machine for $17,400 cash.
3. Diaz sold the machine for $32,600 cash.
4. Diaz sold the machine for $40,200 cash.
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Journal entry worksheet
<
☐
1
2
3
4
Record the disposal of the machine receiving nothing in return.
Note: Enter debits before credits.
Date
January 01
Machine
Accumulated depreciation-Machine
General Journal
Debit
Credit
126,100
93,500
Record entry
Clear entry
View general journal
>
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