Gerald paid $1730 to install a lift which was hydraulic in nature and an air filter which costs $88 for its main truck used for delivery. With the information given journalize the entries for both.
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- Prepare entries for delivery truck costs. BE9.3 (LO 1), AP Krieg Company had the following two transactions related to its delivery truck. 1. Paid $38 for an oil change. 2. Paid $400 to install special shelving units, which increase the operating efficiency of the truck. Prepare Krieg's journal entries to record these two transactions. Compute straight-line depreciationtaxpayer purchased a building for $250,000 for his business. Before beginning to use the property in operations, the Taxpayer replaced the old air conditioning system with a new one at a cost of $25,000. In addition, he removed the doors and windows and installed new doors and windows at a cost of $40,000. Similarly, he hired a landscape gardener who changed the green areas around the building with an investment of $3,000. Ultimately, the building was painted at a cost of $5,000. Determine the starting base. Select one: a. $315,000 b. $275,000 C. $318,000 d. $323,000Sandhill Co. had the following two transactions related to its delivery truck. 1. Paid $55 for an oil change. 2. Paid $447 to install special shelving units, which increase the operating efficiency of the truck. Prepare Sandhill Co.’s journal entries to record these two transactions.
- Taylor Woodley spent 50 hours building a pavilion behind the office of a private not-for-profit entity. Woodley normally charges $30 per hour but did this work for free. How should the private not-for-profit entity record this?a. Increase the fund balance by $1,500b. Increase assets and contribution revenue by $1,500.c. Increase expenses and contribution revenue by $1,500.d. Nothing should be recorded because the entity did not pay Weatherly.in the new building? 40. In January, Prahbu purchased for $90,000 a new machine for use in an existing production line of his manufacturing business. Assume that the machine is a unit of property and is not a material or supply. Prahbu pays $2,500 to install the machine, and after the machine is installed, he pays $1,300 to perform a critical test on the machine to ensure that it will operate in accordance with quality standards. On November 1, the critical test is complete, and Prahbu places the machine in service on the production line. On December 3, Prahbu pays another $3,300 to perform periodic quality control testing after the machine is placed in service. How much will Prahbu be required to capitalize as the cost of the machine? Donn 11 LO 2-1 researPlease help
- Wildhorse Company incurs these expenditures in purchasing a truck: cash price $46,000, accident insurance (during use) $2,200, sales taxes $4,400, motor vehicle license $300, and painting and lettering $1,700 What is the cost of the truck? Cost of the truck $Bernadette suffers from multiple sclerosis and has great difficulty climbing stairs. Upon the recommendation of her physician, she has an elevator chair-system installed in her personal residence. In connection with the system, Bernadette incurs and pays the following amounts during the current year: Doctor and hospital bills $6,700 Elevator chair-system 19,500 Installation charge for elevator chair-system 1,500 Cost of certified appraisal 500 In addition, Bernadette pays $1,350 for prescribed medicines. The system has an estimated useful life of 25 years. The appraisal was to determine the value of Bernadette's residence with and without the system. The appraisal states that her residence was worth $224,000 before the system was installed and $240,000 after the installation. Bernadette's AGI for the year was $83,000. What is the total of her qualifying medical expenses for 2018?$ What is her medical expense deduction for the current year?$Your client, a carpenter, donated one of his handcrafted wooden desks to his church, a qualified public charity. The church sold the desk at an auction for $3,500, which is comparable to the standard price for the client's other woodwork. He calculated his costs as follows: Wood $1,000 Other materials $300 Rent for workshop $500 Time and services $1,700 This is his only charitable contribution. He itemizes deductions and has an adjusted gross income of $80,000. What is the maximum current year income tax deduction allowable for the client's charitable contribution? A)$3,500 B)$1,800 C)$500 D)$1,300