Ming Company bought a machine on 1 July 2019 for $90,000. It incurred an additional $2,000 in freight charges to import the machine to Singapore. Assume these are paid in cash. The machine has a useful life of 4 years and a residual value of $10,000. The company adopts the straight-line method of depreciation and the financial year ends on 31 December. Show workings. (a) Present the journal entries for the years 2019 and 2020. Narrations are not required. (b) On 1 April 2021, due to constant machine breakdowns, the machine was sold for $60,000. Present the gain/ loss on the sale of the machine. Show workings

Q: Pharoah Company owns equipment that cost $71.000 when purchased on January 1, 2019. It has been…

A: In case of multiple subparts, we are allowed to solve only the first 3 subparts. If you want the…

Q: Sheffield Corp. sells office equipment on July 31, 2022, for $19,200 cash. The office equipment…

A: Journal entry is the act of keeping records of transactions in an accounting journal. An accounting…

Q: Buffalo Corporation owns machinery that cost $20,400 when purchased on July 1, 2017. Depreciation…

A: Depreciation is a reduction in the value of assets due to the usage of that asset. We can evaluate…

Q: ne ulated depreciation $1,360,000 504,000 $856,000 lation is calculated at $84,000 per year on a…

A: To record the disposal of machinery, the loss on machinery must be calculated . The loss on…

Q: at th I value of $12 000 00 000 kilometres.

A: Given as, Vehicle cost= $52, 000.

Q: On July 1, 2019, Blossom Company purchased new equipment for $70,000. Its estimated useful life was…

A: Depreciation expense: Depreciation expense is a non-cash expense, which is recorded on the income…

Q: On January 1, 2020, Techno Company sold a machine for RO15,000 cash. The Machine originally cost RO…

A: Solution:- Preparation of Journal entry as follows under:-

Q: Nikhil Limited purchased a machine on 1st July, 2019 for 8, 90,000 and freight and transit insurance…

A: Cost of the asset includes the purchase cost and all directly attributable costs.Cost of the machine…

Q: Please answer the following question: Beaver Construction purchases new equipment for $45,360 cash…

A: DEPRECIATION EXPENSE Depreciation means gradual decrease in the value of an asset due to normal wear…

Q: On December 31, 2022, Tamarisk Inc. owns a machine with a carrying amount of $744, 000. The original…

A: Journal entries are made to record the transactions as the first process in the books of accounts…

Q: On March 9, 2019, Alpha Inc. purchased an equipment with a cost of HK$600,000, a useful life of five…

A: The question is related to Impairment loss. The Impairment loss is calculated with the help of…

Q: A machine cost $229,000, has annual depreciation expense of $45,800, and has accumulated…

A: working notes    1. ($45,800× 3/12) = $11450   2. ($114,500 +$11450) = $125950

Q: Nevertire Ltd purchased a delivery van costing $52,000. It is expected to have a residual value of…

A: Depreciation is the expense of distributing the cost of a tangible asset over its useful life. There…

Q: Nevertire Ltd purchased a delivery van costing $52,000. It is expected to have a residual value of…

A: Depreciation per year (Straight line) = ( cost of Asset - Residual value ) / useful life of the…