TRANSCEND EXCEED Co. traded-in an old machine for a new model. Pertinent data are as foll Old equipment: Cost 200,000 Accumulated depreciation Average published retail value 80,000 24,000 New equipment: List price Cash price without trade in Cash price with trade in 380,000 280,000 220,000 How much is the gain (loss) recognized by TRANSCEND Co. on the transaction? c. (60,000) d. 0 60,000 b. 160,000 а.

TRANSCEND EXCEED Co. traded-in an old machine for a new model. Pertinent data are as foll Old equipment: Cost 200,000 Accumulated depreciation Average published retail value 80,000 24,000 New equipment: List price Cash price without trade in Cash price with trade in 380,000 280,000 220,000 How much is the gain (loss) recognized by TRANSCEND Co. on the transaction? c. (60,000) d. 0 60,000 b. 160,000 а.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

The following information relates to an exchange of assets by Wharton Company. The exchange lacks commercial substance. Old Equipment Book Value Fair Value Cash Paid Case I $75,000 $85,000 $15,000 Case II $50,000 $45,000 $7,000 For Case I, Wharton records the equipment at $ Answer on its books and reports a gain or (loss) of $ Answer on the exchange.
Please answer required 21,22 and working note
Assume a company did not purchase any equipment during the year, but it did sell a piece of equipment that had an original cost of $500.000 and accumulated depreciation of $300,000. The gain on the sale was $23.500 Based solely on the information provided, the company's net cash provided by (used in investing activities would be Multiple Choice $200,000 $276.500 $223,500 $247000
Please Solve In 20mins I will Thumbs-up promise
7.14 Alpha sells machine B for $50,000 cash on 30 April 20X4. Machine B cost $100,000 when it was purchased and has a carrying amount of $65,000 at the date of disposal. What are the journal entries to record the disposal of machine B? DEBIT Accumulated depreciation DEBIT Loss on disposal (SPL) DEBIT Cash CREDIT Non-current assets - cost A $35,000 $15,000 $50,000 $100,000 DEBIT Accumulated depreciation DEBIT Loss on disposal (SPL) CREDIT Non-current assets - cost $65,000 $35,000 $100,000 DEBIT Accumulated depreciation DEBIT Cash CREDIT Non-current assets CREDIT Profit on disposal (SPL) $35,000 $50,000 $65,000 $20,000 DEBIT Non-current assets DEBIT Accumulated depreciation CREDIT Cash CREDIT Profit on disposal (SPL) $65,000 $35,000 $50,000 $50,000
None
answer step by step
On November 1, Peery Corp. traded equipment with Williams Co. Peary Corp. $4 900,000 Williams Co. Equipment (cost) Accumulated depreciation Fair value of Equipment Cash received (paid) $1,570,000 850,000 $ 230,000 640,000 780,000 (140,000) 140,000 The exchange lacks commercial substance. Instructions: a.) Provide Peery's journal entry to record this exchange. b.) Provide Williams's journal entry to record this exchange.
Compute depreciation under different methods. b. 2.2022 DDB depreciation $90,000 P10.3 (LO 2), AN On January 1, 2022, Evers Company purchased the following two machines for use in its production process. Machine A: Machine B: Instructions The cash price of this machine was $48,000. Related expenditures also paid in cash included: sales tax $1,700, shipping costs $150, insurance during shipping $80, installation and testing costs $70, and $100 of oil and lubricants to be used with the machinery during its first year of operations. Evers estimates that the useful life of the machine is 5 years with a $5,000 salvage value remaining at the end of that time period. Assume that the straight-line method of depreciation is used. The recorded cost of this machine was $180,000. Evers estimates that the useful life of the machine is 4 years with a $10,000 salvage value remaining at the end of that time period. a. Prepare the following for Machine A. 1. The journal entry to record its purchase on…
QUESTION 1.4 I could only attach 2 pictures, the last picture has only 1 column "Cash and cash equivalent at the end of the year R36000" Question: Explain why depreciation is added to the operating profit
None
FEEBLE Co. exchanged equipment with WEAK, Inc. Pertinent data are shown be3low: FEEBLE Co. WEAK, Inc. Equipment 4,000,000 8,000,000 Accumulated depreciation 800,000 3,200,000 Carrying amount 3,200,000 4,800,000 Fair value 3,800,000 4,400,000 Cash paid by FEEBLE to WEAK 600,000 600,000 In FEEBLE’s books, what amounts are recognized for the following? Equipment Gain (Loss) a. 5,000,000 1,200,000 b. 4,400,000 600,000 c. 3,800,000 1,200,000 d. 3,400,000 (600,000)