Disposal of Fixed AssetEquipment acquired on January 6 at a cost of $331,200 has an estimated useful life of 10 years and an estimated residual value of $43,200.a. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation?YearYear 1Year 2Year 3b. What was the book value of the equipment on January 1 of Year 4?Depreciation Expensec. Assuming that the equipment was sold on January 3 of Year 4 for $232,600, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.Jan. 3d. Assuming that the equipment had been sold on January 3 of Year 4 for $249,700 instead of $232,600, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.Jan. 3

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Description: Disposal of Fixed AssetEquipment acquired on January 6 at a cost of $331,200 has an estimated useful life of 10 years and an estimated residual value of $43,200.a. What was the annual amount of depreciation for the Years 1-3 using the straight-line

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Disposal of Fixed Asset Equipment acquired on January 6 at a cost of $331,200 has an estimated useful life of 10 years and an estimated residual value of $43,200. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation? Year Depreciation Expense Year 1 Year 2 Year 3 b. What was the book value of the equipment on January 1 of Year 4? c. Assuming that the equipment was sold on January 3 of Year 4 for $232,600, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. Jan. 3

Disposal of Fixed Asset Equipment acquired on January 6 at a cost of $331,200 has an estimated useful life of 10 years and an estimated residual value of $43,200. What was the annual amount of depreciation for the Years 1-3 using the straight-line method of depreciation? Year Depreciation Expense Year 1 Year 2 Year 3 b. What was the book value of the equipment on January 1 of Year 4? c. Assuming that the equipment was sold on January 3 of Year 4 for $232,600, journalize the entry to record the sale. If an amount box does not require an entry, leave it blank. Jan. 3

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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