It estimates that after five years it can sell the equipment for $2,000. During year 2017, the band performs 55 concerts.
Answer:
The answer is $1,402,000
Explanation:
Cost of an asset is the total cost of acquiring and asset plus the cost incurred in bringing the asset to a working condition e.g cost of transporting the asset to factory, cost of installation etc.
Cost of the machine is:
Cost of acquisition $4,000,000
Cost of installation. $10,000
Building a clean room. $3,000,000
Total cost is. $7,010,000
No salvage value
Useful life is 5 years
Cost of depreciation using the straight-line method is
(cost of the asset - salvage value) ÷ number of useful life
$7,010,000 ÷ 5
= $1,402,000
Answer:
Deductible depreciation = $2,660
Explanation:
Given:
Amount of car = $14,000
Personal use = 30%
Business use = 70%
Total depreciation = $3,800
Deductible depreciation = ?
Computation of Deductible depreciation:
Deductible depreciation = Total depreciation × Business use percentage
Deductible depreciation = $3,800 × 70%
Deductible depreciation = $2,660
Answer:
(A) Accounts Payable - Liabilities
(D) Equipment - Assets
(E) Supplies - Assets
(F) Retained earning - Owner's Equity
(H) Cash - Assets
Explanation:
The major categories in a balance sheets are: Assets, Liabilities and Owner's Equity,
Assets are many things (as equipment, machinery, Receivables, etc) that belongs to the company, please see details in the answer.
Liabilities represent the obligations of the company with all kind of creditors.
And finally Owner's Equity it's the Capital that support part of the Assets along with the Liabilites.
