Here are selected 2022 transactions of Bridgeport Company. Jan. 1 Retired a piece of machinery that was purchased on January 1, 2012. The machine cost $63,500 and had a useful life of 10 years with no salvage value. June 30 Dec. 31 Sold a computer that was purchased on January 1, 2019. The computer cost $39,300 and had a useful life of 5 years with no salvage value. The computer was sold for $15,400 cash. Discarded a delivery truck that was purchased on January 1, 2018. The truck cost $42,900. It was depreciated based on a 6-year useful life with a $3,000 salvage value. Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of where applicable. Bridgeport Company uses straight-line depreciation. (Assume depreciation is up to date as of December 31, 2021.) (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in
Here are selected 2022 transactions of Bridgeport Company. Jan. 1 Retired a piece of machinery that was purchased on January 1, 2012. The machine cost $63,500 and had a useful life of 10 years with no salvage value. June 30 Dec. 31 Sold a computer that was purchased on January 1, 2019. The computer cost $39,300 and had a useful life of 5 years with no salvage value. The computer was sold for $15,400 cash. Discarded a delivery truck that was purchased on January 1, 2018. The truck cost $42,900. It was depreciated based on a 6-year useful life with a $3,000 salvage value. Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of where applicable. Bridgeport Company uses straight-line depreciation. (Assume depreciation is up to date as of December 31, 2021.) (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Depreciation Methods
The word "depreciation" is defined as an accounting method wherein the cost of tangible assets is spread over its useful life and it usually denotes how much of the assets value has been used up. The depreciation is usually considered as an operating expense. The main reason behind depreciation includes wear and tear of the assets, obsolescence etc.
Depreciation Accounting
In terms of accounting, with the passage of time the value of a fixed asset (like machinery, plants, furniture etc.) goes down over a specific period of time is known as depreciation. Now, the question comes in your mind, why the value of the fixed asset reduces over time.
Topic Video
Question
Please help me
Transcribed Image Text:Here are selected 2022 transactions of Bridgeport Company.
Jan.
1
June 30
Dec. 31
Retired a piece of machinery that was purchased on January 1, 2012. The machine cost $63,500 and had a useful life
of 10 years with no salvage value.
Sold a computer that was purchased on January 1, 2019. The computer cost $39,300 and had a useful life of 5 years
with no salvage value. The computer was sold for $15,400 cash.
Discarded a delivery truck that was purchased on January 1, 2018. The truck cost $42,900. It was depreciated based
on a 6-year useful life with a $3,000 salvage value.
Journalize all entries required on the above dates, including entries to update depreciation on assets disposed of where applicable.
Bridgeport Company uses straight-line depreciation. (Assume depreciation is up to date as of December 31, 2021.) (List all debit entries
before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in
the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education