1. Which of the following capital assets would not be depreciated? a) The city's streetlights. b) Purchased computer software. c) The partially completed city hall. d) The artwork owned and displayed in the city parks. 2. Goods for which a purchase order had been placed at an estimated co. were received at an actual cost of $985. The journal entry in the Gener record the receipt of the goods will include a: a) Debit to Reserve for Encumbrances for $1,000. b) Credit to Vouchers Payable for $985. c) Debit to Expenditures for $985. d) All of the above are correct.

1. Which of the following capital assets would not be depreciated? a) The city's streetlights. b) Purchased computer software. c) The partially completed city hall. d) The artwork owned and displayed in the city parks. 2. Goods for which a purchase order had been placed at an estimated co. were received at an actual cost of $985. The journal entry in the Gener record the receipt of the goods will include a: a) Debit to Reserve for Encumbrances for $1,000. b) Credit to Vouchers Payable for $985. c) Debit to Expenditures for $985. d) All of the above are correct.

CONCEPTS IN FED.TAX.,2020-W/ACCESS

20th Edition

ISBN:9780357110362

Author:Murphy

Publisher:Murphy

Chapter10: Cost Recovery On Property: Depreciation, Depletion, And Amortization

Section: Chapter Questions

Problem 23P

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