Prepare the entries to record depreciation expense for the year ended December 31, 2023 using the proportionate method. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries. Do not round intermediate calculations. Round final answers to 0 decimal places, e.g. 5,275.) Account Titles and Explanation (To record depreciation expense for Buildings) (To record depreciation expense for Equipment) Debit [I Credit
The Effect Of Prepaid Taxes On Assets And Liabilities
Many businesses estimate tax liability and make payments throughout the year (often quarterly). When a company overestimates its tax liability, this results in the business paying a prepaid tax. Prepaid taxes will be reversed within one year but can result in prepaid assets and liabilities.
Final Accounts
Financial accounting is one of the branches of accounting in which the transactions arising in the business over a particular period are recorded.
Ledger Posting
A ledger is an account that provides information on all the transactions that have taken place during a particular period. It is also known as General Ledger. For example, your bank account statement is a general ledger that gives information about the amount paid/debited or received/ credited from your bank account over some time.
Trial Balance and Final Accounts
In accounting we start with recording transaction with journal entries then we make separate ledger account for each type of transaction. It is very necessary to check and verify that the transaction transferred to ledgers from the journal are accurately recorded or not. Trial balance helps in this. Trial balance helps to check the accuracy of posting the ledger accounts. It helps the accountant to assist in preparing final accounts. It also helps the accountant to check whether all the debits and credits of items are recorded and posted accurately. Like in a balance sheet debit and credit side should be equal, similarly in trial balance debit balance and credit balance should tally.
Adjustment Entries
At the end of every accounting period Adjustment Entries are made in order to adjust the accounts precisely replicate the expenses and revenue of the current period. It is also known as end of period adjustment. It can also be referred as financial reporting that corrects the errors made previously in the accounting period. The basic characteristics of every adjustment entry is that it affects at least one real account and one nominal account.
Choose from the following accounts:
Accounts Payable
Accumulated Depreciation - Equipment
Accumulated Depreciation - Leasehold Improvements
Accumulated Depreciation - Machinery
Accumulated Depreciation - Vehicle Overhaul
Accumulated Depreciation - Vehicles
Advertising Expense
Asset Retirement Obligation
Buildings
Cash
Common Shares
Contributed Surplus - Donated Capital
Cost of Goods Sold
Deferred Revenue - Government Grants
Depreciation Expense
Donation Revenue
Equipment
Finance Expense
Gain on Disposal of Buildings
Gain on Disposal of Equipment
Gain on Disposal of Machinery
Gain on Disposal of Vehicles
Gain on Vehicle Overhaul
Gain or Loss in Value of Investment Property
GST Receivable
Interest Expense
Interest Payable
Inventory
Investment Property
Land
Land Improvements
Legal Expense
Loss on Disposal of Buildings
Loss on Disposal of Equipment
Loss on Disposal of Machinery
Loss on Disposal of Vehicles
Loss on Vehicle Overhaul
Machinery
Mineral Resources
Mortgage Payable
No Entry
Notes Payable
Office Expense
Prepaid Expenses
Prepaid Insurance
Purchase Discounts
Repairs and Maintenance Expense
Revaluation Gain or Loss
Revaluation Surplus (AOCI)
Revaluation Surplus (OCI)
Revenue - Government Grants
Salaries and Wages Expense
Sales Revenue
Service Revenue
Supplies
Tenant Deposits Liability
Vehicle Overhaul
Vehicles
![Prepare the necessary general journal entries, if any, to revalue the building and the equipment as at December 31, 2022, using
the proportionate method. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no
entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries. Do not
round intermediate calculations. Round final answers to O decimal places, e.g. 5,275.)
Account Titles and Explanation
Accumulated Depreciation - Buildings
Revaluation Gain or Loss
Buildings
(To record revaluation of the building)
(c2)
Equipment
Accumulated Depreciation - Equipment
Revaluation Surplus (OCI)
(To adjust the Equipment
account to fair value)
eTextbook and Media
List of Accounts
Account Titles and Explanation
(To record depreciation expense for Buildings)
Debit
(To record depreciation expense for Equipment)
26265
Debit
51000
46875
Credit
!!!
Prepare the entries to record depreciation expense for the year ended December 31, 2023 using the proportionate method.
(Credit account titles are automatically indented when the amount is entered. Do not indent manually. Do not indent manually. If no entry
is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries. Do not round
intermediate calculations. Round final answers to O decimal places, e.g. 5,275.)
77265
Credit
16875
30000
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![A partial statement of financial position of Blossom Ltd. on December 31, 2022, showed the following property, plant, and equipment
assets accounted for under the cost model (accumulated depreciation includes depreciation for 2022):
Buildings
Less: Accumulated depreciation
Equipment
Less: Accumulated depreciation
(a)
Your answer is correct.
Blossom uses straight-line depreciation for its building (remaining useful life of 20 years, no residual value) and for its equipment
(remaining useful life of 8 years, no residual value). Blossom applies IFRS and has decided to adopt the revaluation model for its
building and equipment, effective December 31, 2022. On this date, an independent appraiser assessed the fair value of the building
to be $149,000 and that of the equipment to be $110,000.
Account Titles and Explanation
Buildings
Accumulated Depreciation - Buildings
(b)
Prepare the necessary general journal entries, if any, to revalue the building and the equipment as at December 31, 2022, using
the asset adjustment method. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If
no entry is required, select "No Entry" for the account titles and enter O for the amounts. List all debit entries before credit entries.)
Revaluation Gain or Loss
Buildings
(To adjust the Buildings
account to fair value)
(To eliminate the accumulated depreciation)
Equipment
(To eliminate the accumulated
depreciation)
Equipment
Accumulated Depreciation - Equipment
Revaluation Surplus (OCI)
(To adjust the Equipment
account to fair value)
$303,000
eTextbook and Media
$125,000
List of Accounts
103,000
Your answer is correct.
45,000
Depreciation Expense
Account Titles and Explanation
Depreciation Expense
Accumulated Depreciation - Buildings
(To record depreciation expense for Buildings)
$200,000
80,000
Accumulated Depreciation - Equipment
(To record depreciation expense for Equipment)
Debit
103000
Debit
51000
45000
Prepare the entries to record depreciation expense for the year ended December 31, 2023. (Credit account titles are automatically
indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for
the amounts. List all debit entries before credit entries.)
30000
7450
Credit
13750
103000
Credit
51000
45000
30000
Attempts: 2 of 3 used
7450
13750](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F98b525fd-4637-46f3-ab2a-4d2415ed1028%2F824385e2-5097-4ab1-940f-e1533e998033%2Fl9c1j2b_processed.png&w=3840&q=75)
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