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
Snezhnost [94]
3 years ago
15

Abbott Landscaping purchased a tractor at a cost of $30,000 and sold it three years later for $16,200. Abbott recorded depreciat

ion using the straight-line method, a five-year service life, and a $4,000 residual value. Tractors are included in the Equipment account.
Assume the tractor was sold for $12,400 instead of $19,800. Record the sale.
Business
1 answer:
Viefleur [7K]3 years ago
3 0

Answer:

                                                                    Debit Credit

Cash                                                         $16,200  

Accumulated depreciation-equipment $15,600  

Gain on sale of equipment                                  1,800

Equipment                                                        30,000

(To record sale of equipment)  

Explanation:

According to the given data we have the following:

Equipment=$30,000

Cash=$16,200

Therefore,The accumulated depreciation would be=($30,000-4,000)/5*3

The accumulated depreciation would be=$15,600

Therefore, the sale to record would be as follows:

                                                                      Debit Credit

Cash                                                         $16,200  

Accumulated depreciation-equipment $15,600  

Gain on sale of equipment                                  1,800

Equipment                                                        30,000

(To record sale of equipment)  

You might be interested in
How much is the sales tax on $19.50 worth of goods if the tax rate is 7%? $2.79 $0.14 $1.37 $0.28
exis [7]

Answer:

1.37

Explanation:

=19.50x7

=$1.365

=$1.37

4 0
2 years ago
Roth Service Co. experienced the following transactions for 2018, its first year of operations: Provided $80,000 of services on
Stels [109]

Answer and Explanation:

a. The preparation of income statement is shown below:-

                               Income Statement

Service revenue                               $80,000

operating expenses  

Salary expenses           $28,000

Uncollectible accounts

expense                        $3,273

Total operating expense                   $31,273

Net income                                         $48,727

Working Note :-

Days       Amount     Percentage     Allowance balance

Current   $16,800       0.01                  $168

0-30         $5,100        0.05                 $255

31-60       $4,000        0.10                  $400

61-90       $2,000        0.30                 $600

Over 90

days         $3,700       0.50                  $1,850

Total        $31,600                                $3,273

b. The computation of net realizable value of the accounts receivable is shown below:-

Net realizable value = Accounts receivable - Allowance for doubtful accounts

= ($80,000 - $48,400) - $3,273

= $31,600 - $3,273

= $28,327

4 0
3 years ago
A perfectly competitive industry consists of many identical firms, each with a long-run average total cost of LATC = 800 – 10Q
Karolina [17]

Answer:

50

Explanation:

According to the question, The computation of the quantity produce is shown below:

Here we use the differentiation LRAC to zero

\frac{\partial LRATC}{\partial Q}=-10+0.2Q=0\\\\ 0.2Q=10\\\\ Q=50

From above calculation it can be concluded that the each firm would be produced the quantity of long run equilibrium for 50

Hence, the first option is correct

5 0
2 years ago
Trahan Lumber Company hired you to help estimate its cost of capital. You obtained the following data: D1 = $1.25; P0 = $27.50;
lubasha [3.4K]

Answer:

B. 9.84%

Explanation:

Given that

D1 = 1.25

P0 = 27.50

g = 5%

F = 6%

Recall that

Cost of equity raised = (D1/P0 - [F × P0]) + g

Thus,

= 1.25/27.50 - [0.06 × 27.50] + 0.05

= 1.25/ 25.85 + 0.05

= 0.04835 + 0.05

= 0.09835

= 0.0984

=9.84%

8 0
3 years ago
Read 2 more answers
In double-entry accounting, where should you record money that is leaving your company to pay bills? A. In the debits column B.
Andre45 [30]
B. In the credits column
6 0
3 years ago
Read 2 more answers
Other questions:
  • 1. Gerald and Moira Johnson, are married taxpayers with two children, Michael and Oliver. Oliver lives with the Ryans and Michae
    9·1 answer
  • Irene plans to retire on January 1, 2020. She has been preparing to retire by making annual deposits, starting on January 1, 198
    13·1 answer
  • Even though federal law mandates that workers and firms each pay half of the total fica tax, the tax burden may not fall equally
    12·1 answer
  • Capital Consulting Company had 390,000 shares of common stock outstanding on December 31, 2017. On that date, there were also 4,
    7·1 answer
  • Jim and Susan are both in good health and Jim has a reasonably secure career. Jim currently has an income of $70,000 and has 2 c
    13·1 answer
  • Fortune Drilling Company acquires a mineral deposit at a cost of $5,900,000. It incurs additional costs of $600,000 to access th
    5·1 answer
  • Pedro, an administrative manager at Seal Inc., is asked to purchase 100 printers for the firm's office. He contacts a sales repr
    5·1 answer
  • Why do you think Artificial Intelligence does not work for every face?
    6·1 answer
  • Over the next few years, many organization will be collecting vast amounts of data on their employees ranging from engagement to
    14·1 answer
  • What interdisciplinary field is dedicated to understanding and management of people at work?.
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!