1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Vsevolod [243]
3 years ago
10

On March 31, 2018, Susquehanna Insurance purchased an office building for $11,700,000. Based on their relative fair values, one-

third of the purchase price was allocated to the land and two-thirds to the building. Furniture and fixtures were purchased separately from office equipment on the same date for $1,350,000 and $850,000, respectively. The company uses the straight-line method to depreciate its buildings and the double-declining-balance method to depreciate all other depreciable assets. The estimated useful lives and residual values of these assets are as follows: - Service Life Residual Value Building 25 5% of cost Furniture and fixtures 10 5% of cost Office equipment 5 $45,000 Required : Calculate depreciation for 2018 and 2019
Business
1 answer:
irakobra [83]3 years ago
3 0

Answer:

2018:

building:                       296,400

Furniture and fixtures: 270,000

Office Equipment:      <u>  340,000  </u>

Total:                             906,400

Explanation:

<em>11,700,000 1/3 to land:</em>                3,900,000

<em>11,700,000 2/3 to building:</em>         7,800,000

Office Equipment:                  <u>       204,000   </u>

Total:                                           11,904,000

<u>Building depreciation: </u>

(historic cost - salvage value)/useful life

(7,800,000 - 7,800,000 x 5%)/25 = <em>296,400</em>

As this is straight-line depreciation will be constant for both years.

Furniture and fixtures: double-declining

the assets depreciate at a rate double of straight line of the carrying value

carring value: 2/useful life

2018:          1,350,000         x 1/10 x 2 = 270,000

2019: (1,350,000-270,000) x 1/10 x 2 = 216,000

Office Equipment: double-declining

2018:           850,000          x 2/5 =  340,000

2019: (850,000 - 340,000) x 2/5 = 204,000

You might be interested in
Buscando amistad audio read the ads for pen pals. then listen to the four recorded personal ads. write the name of the person wh
Vinvika [58]

Answer:

idk

Explanation:

7 0
3 years ago
In the context of investing, the term market refers to Select one:
Kamila [148]
The right answer for the question that is being asked and shown above is that: "d. the place where stocks, bonds, and securities are traded." In the context of investing, the term market refers to d. the place where stocks, bonds, and securities are traded.<span>
</span>
8 0
3 years ago
Read 2 more answers
PLEASE HELP ME!!!!!!!!!!!!!!!!!!!!!111 I NEED HELP RIGHT NOW!!!!!!!!! IM LITERALLLY CRYING! JK IM NOT BUT I NEED HELP!!!!!!
8_murik_8 [283]

I think A and C.

Hope this helps.

8 0
3 years ago
What's the difference between a brand-name and a generic product? A. The company that sells the product B. The side effects of t
katen-ka-za [31]

Answer:

A

Explanation:

The quality should be about the same.

The social responsibility should also be about the same.

There shouldn't be side effects of most products. If you are speaking of medications, there really ought to be the same side effects with the same severity and the same statistical occurrences.

The only difference is the company selling the product.

There have been exceptions to this where different "fillers" were used in the generic brand and the side effects were different and more severe. I've only heard of one case however and I cannot remember what it was. Manufacturers were careful not to let it happen again.

4 0
3 years ago
On September 1, Kennedy Company loaned $100,000, at 12% annual interest, to a customer. Interest and principal will be collected
GenaCL600 [577]

Answer:c. Debit Interest Receivable, $4,000; credit Interest Revenue, $4,000.

Explanation:

The interest payable = Principal x Rate x Time (period)

= $100,000 x 12% x 4/12 ( September to December)

$100,000 x 0.12 x 1/3

$100,000 x 0.04

=$4000

Journal entry to record accrued interest at Year end for loan issued on sept 1st.

Date         Account titles                   Debit         Credit

Dec 31st     Interest Receivable        $4000

                  Interest   Revenue                                $4000

6 0
3 years ago
Other questions:
  • The Woods Co. and the Mickelson Co. have both announced IPOs at $56 per share. One of these is undervalued by $8, and the other
    10·1 answer
  • What is the expected return on this stock given the following information?
    9·1 answer
  • For lunch, Maria eats only salads or vegetarian burgers. Her weekly food budget is $36. Each salad costs $6 and each vegetarian
    12·1 answer
  • What are the three major parts in the organization and marketing<br> section of the business plan?
    6·1 answer
  • You have been hired to consult with the new chief of a police department that has been fraught with complaints of officer miscon
    5·2 answers
  • Baker Company owns 15% of the common stock of Charlie Corporation and used the fair-value method to account for this investment.
    15·1 answer
  • Which of the following combinations should be avoided? a. high price and high quality b. low price and low quality c. heavy prom
    6·1 answer
  • According to Brooks's article, what was the main effect of entrepreneurship in China?
    15·2 answers
  • You are considering working for United Way upon graduation. Explain how the marketing goals, strategies, and markets for the non
    5·1 answer
  • Which of the following correctly describes a general ledger?
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!