Equipment with a historical cost of $70,000 and Accumulated Depreciation of $15,000 is junked. No cash is received upon disposal. Which journal entry is necessary? a. debit Accumulated Depreciation-Equipment for $15,000 and credit Equipment for $15,000. b. debit Accumulated Depreciation-Equipment for $15,000, debit Gain on Disposal of Equipment for $55,000, and credit Equipment for $70,000. c. debit Accumulated Depreciation-Equipment for $70,000 and credit Equipment for $70,000. d. debit Accumulated Depreciation-Equipment for $15,000, debit Loss on Disposal of Equipment for $55,000, and credit Equipment for $70,000.

Equipment with a historical cost of $70,000 and Accumulated Depreciation of $15,000 is junked. No cash is received upon disposal. Which journal entry is necessary? a. debit Accumulated Depreciation-Equipment for $15,000 and credit Equipment for $15,000. b. debit Accumulated Depreciation-Equipment for $15,000, debit Gain on Disposal of Equipment for $55,000, and credit Equipment for $70,000. c. debit Accumulated Depreciation-Equipment for $70,000 and credit Equipment for $70,000. d. debit Accumulated Depreciation-Equipment for $15,000, debit Loss on Disposal of Equipment for $55,000, and credit Equipment for $70,000.

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter15: Statement Of Cash Flows

Section: Chapter Questions

Problem 8DQ: Fully depreciated equipment costing 50,000 was discarded. What was the effect of the transaction on...

See similar textbooks

Similar questions

Equipment acquired at a cost of $126,000 has a book value of $42,000. a. The equipment had no market value and was discarded. b. The equipment is sold for $54,000. c. The equipment is sold for $24,000. Journalize the disposal of the equipment under the assumptions listed above. If an amount box does not require an entry, leave it blank. a. b. Accumulated Depreciation - Equipment Cash Depreciation Expense - Equipment Equipment Gain on Sale of Equipment
Equipment that cost 412000 and on which 191000 of accumulated depreciation has been recorded was disposed of for 181000 cash. The entry to record this event would include a ? Equipment that cost $412000 and on which $191000 of accumulated depreciation has been recorded was disposed of for $181000 cash. The entry to record this event would include a O credit to Accumulated Depreciation for $191000. Ogain of $40000. credit to the Equipment account for $221000. loss of $40000.
Prepare journal entries to record these transactions. (a) Echo Company retires its delivery equipment, which cost $41000. Accumulated depreciation is also $41000 on this delivery equipment. No salvage value is received. (b) Assume the same information as in part (a), expcept that accumulated depreciation for the equipment is $37200 instead of $41000.
(a) Sheridan Company retires its delivery equipment, which cost $47,790. Accumulated depreciation is also $47,790 on this delivery equipment. No salvage value is received. (b) Assume the same information as in part (a), except that accumulated depreciation for the equipment is $37,660 instead of $47,790. No. Account Titles and Explanation (a) Accumulated Depreciation-Equipment Equipment (b) Accumulated Depreciation-Equipment Loss on Disposal of Plant Assets Equipment Debit Credit I
Vishnu
jaydeep
Please solve this question general Accounting
H1.
On June 15, 2024, Perfect Furniture discarded equipment that had a cost of $8,000, a residual value of $0, and was fully depreciated. Journalize the disposal of the equipment. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Date Accounts and Explanation Jun. 15 Accumulated Depreciation-Equipment Cash Depreciation Expense-Equipment Equipment Gain on Disposal Loss on Disposal Maintenance Expenses Debit Credit
I need help recording these types of transactions?
Gain or Loss?
For each of the following depreciable assets, determine the missing amount. Abbreviations for depreciation methods are SL fa straight-line and DDB for double-declining-balance. Note: Do not round intermediate calculations. Round your final answers to nearest whole dollar. Asset A B C D MO E Cost Residual Value $ 31,000 62,000 87,000 252,000 211,000 6,000 21,000 31,000 Service Life (Years) 5 8 10 8 Depreciation Method DDB SL SL DDB Depreciation (Year 2) $ 30,000 5,600 9,000 23,100