Revision of Depreciation On January 2, 2015, Moser, Inc., purchased equipment for $100,000. The equipment was expected to have a $10,000 salvage value at the end of its estimated six-year useful life. Straight-line depreciation has been recorded. Before adjusting the accounts for 2019, Moser decided that the useful life of the equipment should be extended by three years and the salvage value decreased to $8,000. a. Prepare a journal entry to record depreciation expense on the equipment for 2019. Round your answer to the nearest dollar. General Journal Debit Credit Dec. 31 AnswerDepreciation Expense - EquipmentAccumulated Depreciation - EquipmentEquipment Answer Answer AnswerDepreciation Expense - EquipmentAccumulated Depreciation - EquipmentEquipment Answer Answer To record depreciation expense. b. What is the book value of the equipment at the end of 2019 (after recording the depreciation expense for 2019)? Book Value at year ended December 31, 2019: $Answer
Revision of Depreciation On January 2, 2015, Moser, Inc., purchased equipment for $100,000. The equipment was expected to have a $10,000 salvage value at the end of its estimated six-year useful life. Straight-line depreciation has been recorded. Before adjusting the accounts for 2019, Moser decided that the useful life of the equipment should be extended by three years and the salvage value decreased to $8,000. a. Prepare a journal entry to record depreciation expense on the equipment for 2019. Round your answer to the nearest dollar. General Journal Debit Credit Dec. 31 AnswerDepreciation Expense - EquipmentAccumulated Depreciation - EquipmentEquipment Answer Answer AnswerDepreciation Expense - EquipmentAccumulated Depreciation - EquipmentEquipment Answer Answer To record depreciation expense. b. What is the book value of the equipment at the end of 2019 (after recording the depreciation expense for 2019)? Book Value at year ended December 31, 2019: $Answer
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Revision of
On January 2, 2015, Moser, Inc., purchased equipment for $100,000. The equipment was expected to have a $10,000 salvage value at the end of its estimated six-year useful life. Straight-line depreciation has been recorded. Before adjusting the accounts for 2019, Moser decided that the useful life of the equipment should be extended by three years and the salvage value decreased to $8,000.
a. Prepare a
| General Journal | |||
|---|---|---|---|
| Debit | Credit | ||
| Dec. 31 | AnswerDepreciation Expense - EquipmentAccumulated Depreciation - EquipmentEquipment | Answer
|
Answer
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| AnswerDepreciation Expense - EquipmentAccumulated Depreciation - EquipmentEquipment | Answer
|
Answer
|
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| To record depreciation expense. |
b. What is the book value of the equipment at the end of 2019 (after recording the depreciation expense for 2019)?
Book Value at year ended December 31, 2019: $Answer
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