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
wel
2 years ago
9

Sunland Company owns equipment that cost $73,000 when purchased on January 1, 2019. It has been depreciated using the straight-l

ine method based on an estimated salvage value of $13,000 and an estimated useful life of 5 years. Prepare Sunland Company's journal entries to record the sale of the equipment in these four independent situations. (a) Sold for $39,000 on January 1, 2022. (b) Sold for $39,000 on May 1, 2022. (c) Sold for $22,000 on January 1, 2022. (d) Sold for $22,000 on October 1, 2022.
Business
1 answer:
konstantin123 [22]2 years ago
8 0

Answer and Explanation:

The journal entries are shown below;

(a)

Cash $39,000  

Accumulated Depreciation $36,000  [($73,000 - $13,000) × 3 ÷ 5]

       To Equipment  $73,000  

      To Gain on Sale of Equipment  $2,000  

(being the sale of equipment is recorded)    

(b)

Depreciation $4,000  [($73,000 - $13,000) ÷ 5 × 4 ÷12]

        To Accumulated Depreciation  $4,000  

(being depreciation expense is recorded)    

Cash $39,000  

Accumulated Depreciation $40,000  ($36,000 + $4,000)

          To Equipment  $73,000  

          To Gain on Sale of Equipment  $6,000  

(being the sale of equipment is recorded)      

(c)

Cash $22,000  

Accumulated Depreciation $36,000  

Loss on Sale of Equipment $15,000  

         To Equipment  $73,000  

(being the sale of equipment is recorded)    

(d)

Depreciation $9,000  [($73,000 - $13,000) ÷ 5 × 9 ÷ 12]

        To Accumulated Depreciation  $9,000  

(Being depreciation expense is recorded)    

Cash $22,000  

Accumulated Depreciation $45,000  ($36,000 + $9,000)

Loss on Sale of Equipment $6,000  

             To Equipment  $73,000  

(being sale of equipment is recorded)  

You might be interested in
Recommend ways in which business can contribute time and effort to advance the well being of others in business context in the f
Alina [70]

<span>1.       </span>Employ a business that caters the needs of people such as owning a gymnasium. That way it improves the quality of life of a person.

<span>2.       </span>Basing on the example above, it does not engage into any harmful practice.

<span>3.       </span>Your decision will depend on increasing the fee of gym users or improving the interior design of your gym

<span>4.       </span><span>It provides support to the employee because they can interact with the gym users and can use the gym too</span>

7 0
3 years ago
A company is considering investing in a project that costs $300,000. The company uses straight-line depreciation and estimates t
Vaselesa [24]

Answer:

NPV = $-41,928.18

Explanation:

Net present value is the present value of after tax cash flows from an investment less the amount invested.

NPV can be calculated using a financial calculator:

Cash flow in year 0 = $-300,000

Cash flow each year from year 1 to 10 = $42,000

I = 10%

NPV = $-41,928.18

To find the NPV using a financial calacutor:

1. Input the cash flow values by pressing the CF button. After inputting the value, press enter and the arrow facing a downward direction.

2. After inputting all the cash flows, press the NPV button, input the value for I, press enter and the arrow facing a downward direction.

3. Press compute

I hope my answer helps you

7 0
3 years ago
Read 2 more answers
Compute the continuously compounded interest rate for 228 days where the ACT/365 interest rate is 2.92%. Give your answer to fou
Nikitich [7]

Answer:

The answer is 1.8407.

Explanation:

To calculate interest rate for 228 days we will first calculate daily rate and than put value in compounding rate formula.

Daily interest rate = 2.92%/365 = 0.008 %

Interest rate 228 = (1+I%)^n -1

Interest rate 228 = (1+0.008%)^228-1  = 1.8407%

3 0
3 years ago
Data concerning Odum Corporation's single product appear below:
Len [333]

Answer:

The correct answer is C.

Explanation:

Giving the following information:

Selling price per unit $210.00

Variable expense per unit $92.40

Fixed Expense per month $130,536

To calculate the break-even point in units, we need to use the following formula:

Break-even point in units= fixed costs/ contribution margin per unit

Break-even point in units= 130,536/ (210 - 92.4)

Break-even point in units= 1,110 units

6 0
3 years ago
Why are marketers interested in consumers' levels of disposable income?
julsineya [31]
<span>Disposable income describes the amount of a family's money that is still available after all other necessities are handled. Advertisers are interested in this because they want to know what consumers that have large amounts of disposable income are interested in and are less concerned about the interests of those with very little disposable income.</span>
5 0
3 years ago
Other questions:
  • In the monetarist view, the long-run Phillips curve is____________.
    14·1 answer
  • Johnson Waterworks Company provides plumbing services. The company is a sole proprietorship. Transactions during the first year
    13·1 answer
  • Purchases and Cash Payments Journals
    13·1 answer
  • Select the correct answers. Which strategy would be most suitable for a company at the maturity stage of its product life cycle?
    13·1 answer
  • Dermot just learned that his company is closing, and all the employees will be laid off. He is distraught and anxious about how
    8·1 answer
  • Unlike traditional manufacturing, flexible manufacturing: a. decreases efficiency. b. lowers unit costs. c. allows the productio
    13·1 answer
  • This morning, you borrowed $9,500 at 8.9 percent annual interest. you are to repay the loan principal plus all of the loan inter
    15·1 answer
  • The us government is trending away from deregulation toward regulated monopolies
    12·1 answer
  • The basis of competition is freedom of ______ exercised in the pursuit of ______.
    12·1 answer
  • One of the biggest dangers concerning the manipulation of our natural needs by advertisers is with ______.
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!