Presented here are selected transactions for Ivanhoe Limited for 2018. Ivanhoe uses straight-line depreciation and records adjusting entries annually. Jan. 1 Sept. 1 Dec. 30 Sold a delivery truck for $16,740 cash. The truck cost $58,120 when it was purchased on January 1, 2015, and was depreciated based on a four-year useful life with a $5,560 residual value. Sold computers that were purchased on January 1, 2016. They cost $9,927 and had a useful life of three years with no residual value. The computers were sold for $490 cash. Retired equipment that was purchased on January 1, 2009. The equipment cost $152,400 and had a useful life of 10 years with no residual value. No proceeds were received.

Q: State the different elements of a computer system.

A:

Q: Explain the transaction management system of delivery management system like pathao.

A: DMS (Delivery management software) is a digital logistics solution that is used for planning,…

Q: What are Check Digits?

A: CHECK DIGITS  A check digit is a form of control input that is used to detect mistakes that happen…

Q: Define operating cycle.

A: Definition:   Merchandising businesses: Merchandising companies that buy goods from suppliers, or…

Q: What document is used to determine which tables of data are necessary?

A:

Q: Define statement of operations.

A: Financial statements of an organization includes income statement, balance sheet and cash flow…

Q: Name the major transaction cycles

A: In simple terms, the transaction cycle categorizes the basic business processes. It helps in…

Q: Explain what internal and external linkages are.

A: Interior linkage alludes to everything just in extent of an interpretation unit. Outside linkage…

Q: What do you mean by electronic data interchange?

A: Accounting information systems: Accounting information systems collect data from different events…

Q: Write up a transaction analysis chart from the given transaction.

A: Transaction analysis is the summary chart of all the transactions occurred during the month. The…

Q: Define General ledger.

A: General ledger is the book containing the accounts and their amounts which are posted from journal…

Q: Describe what is meant by transaction analysis.

A: Accounting Equation: Accounting equation is the mathematical representation of the relationship…

Q: Explain operating cycle.

A: Accounting:   Accounting is a system, or a process of collecting and organizing economic…

Q: Describe the process of transaction analysis.

A: Process of Transaction analysis: The process of transaction analysis involves the selection of…

Q: Discuss transaction cycles.

A: A transaction cycle is an interlocking set of the  business deals. Utmost of these deals can be…

Q: Distinguish between batch and real-time processing.

A: Transaction process system:   Transaction process system can be defined as a system designed to…

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.