Revise your worksheet to reflect these updated assumptions and then answer the questions that follow. $ 108,000 $ 27,000 6 20,000 Original Cost Estimated Residual Value Estimated Useful Years Estimated Units Actual Units: Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Required: 1. Use your spreadsheet to recalculate Depreciation Expense, Accumulated Depreciation, and the Book Value for Year 6 under each method. Note your revised values below. Depreciation Expense Accumulated Depreciation Book Value 2,000 3,600 4,400 4,800 4,000 3,200 22,000 No 1 2 3 Transaction a. Answer is complete but not entirely correct. Double- Declining- Balance b. Straight- Line 13,500 $ 81,000 27,000 2. Prepare the journal entry to record depreciation in Year 6 for each of the methods. Note: If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. OS Depreciation Expense Accumulated Depreciation 81,000 27,000 General Journal No Journal Entry Required Depreciation Expense Accumulated Depreciation Activity- Based Answer is complete but not entirely correct. 0x 81,000 27,000 ♥ ✔ > ›› Debit 13,500 0x Credit 13,500 0
Revise your worksheet to reflect these updated assumptions and then answer the questions that follow. $ 108,000 $ 27,000 6 20,000 Original Cost Estimated Residual Value Estimated Useful Years Estimated Units Actual Units: Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Required: 1. Use your spreadsheet to recalculate Depreciation Expense, Accumulated Depreciation, and the Book Value for Year 6 under each method. Note your revised values below. Depreciation Expense Accumulated Depreciation Book Value 2,000 3,600 4,400 4,800 4,000 3,200 22,000 No 1 2 3 Transaction a. Answer is complete but not entirely correct. Double- Declining- Balance b. Straight- Line 13,500 $ 81,000 27,000 2. Prepare the journal entry to record depreciation in Year 6 for each of the methods. Note: If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. OS Depreciation Expense Accumulated Depreciation 81,000 27,000 General Journal No Journal Entry Required Depreciation Expense Accumulated Depreciation Activity- Based Answer is complete but not entirely correct. 0x 81,000 27,000 ♥ ✔ > ›› Debit 13,500 0x Credit 13,500 0
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
rmn.2
Transcribed Image Text:Revise your worksheet to reflect these updated assumptions and then answer the questions that follow.
$ 108,000
$ 27,000
6
20,000
Original Cost
Estimated Residual Value
Estimated Useful Years
Estimated Units
Actual Units:
Year 1
Year 2
Year 3
Year 4
Year 5
Year 6
Required:
1. Use your spreadsheet to recalculate Depreciation Expense, Accumulated Depreciation, and the Book Value for Year 6 under
each method. Note your revised values below.
Depreciation Expense
Accumulated Depreciation
Book Value
No
2,000
3,600
4,400
1
4,800
4,000
3,200
22,000
2
3
Transaction
a.
2. Prepare the journal entry to record depreciation in Year 6 for each of the methods.
Note: If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.
b.
Answer is complete but not entirely correct.
Double-
Declining-
Balance
C.
$
Straight-
Line
13,500
81,000
27,000
Depreciation Expense
Accumulated Depreciation
0
81,000
27,000
No Journal Entry Required
Activity-
Based
Answer is complete but not entirely correct.
General Journal
Depreciation Expense
Accumulated Depreciation
81,000
27,000
››
Debit
13,500
0x
Credit
13,500
0x
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