How much is the total carrying amount of the assets at the end of the 6th year? KASEPH/TEACHERsN20day/jm/NEWN.20CURRICULUM/121%20AE/01%20lntermediate%20Acctg%202020%20Vo201%20Conrado%20T%2Happy Company owned a power plant which consisted of thefollowing assets all acquired at the beginning of current year.ResidualvalueUseful lifein yearsCostBuildingMachineryEquipment6,100,0002,550,0001,030,000100,00050,00030,0002010Required:a. Compute the composite rate.b. Compute the composite life.c. Prepare journal entry to record the depreciation for thecurrent year following the composite method.d. Prepare journal entry to record the retirement of the

Composite depreciation refers to charging the depreciation expense for the entire group of the…

Happy Company owned a power plant which consisted of the following assets all acquired at the beginning of current year. Residual value Useful life Cost in years 100,000 50,000 30,000 20 Building Machinery Equipment 6,100,000 2,550,000 1,030,000 10 Required: a. Compute the composite rate. b. Compute the composite life. c. Prepare journal entry to record the depreciation for the current year following the composite method. d. Prepare journal entry to record the retirement of the

Happy Company owned a power plant which consisted of the following assets all acquired at the beginning of current year. Residual value Useful life Cost in years 100,000 50,000 30,000 20 Building Machinery Equipment 6,100,000 2,550,000 1,030,000 10 Required: a. Compute the composite rate. b. Compute the composite life. c. Prepare journal entry to record the depreciation for the current year following the composite method. d. Prepare journal entry to record the retirement of the

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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1. The following information is from Direct to You Corp.’s (DYC) financial records for its year ended December 31, 2020: Select statement of financial position information: 2020 2019 Investments in financial assets (at fair value through profit or loss [FVPL]) 12,000 10,000 Inventory 575,000 498,000 Property, plant, and equipment (PPE) 1,984,000 1,396,000 Less: accumulated depreciation (650,400) (487,000) Copyright 126,000 135,000 Patents 564,000 417,000 Select statement of comprehensive income information: Depreciation of property, plant, and equipment (334,400) Amortization of patents (65,000) Interest expense (75,000) Impairment loss — copyright (9,000) Gain on sale of PPE 23,000 Additional information: PPE that originally cost $570,000 was sold during the year. 100,000 common shares were issued in 2020 to acquire $450,000 of property, plant, and equipment. DYC is subject to IFRS. What amount of net cash used…
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Q42 Dhofar LLC acquired an asset on 1st January 2019 for OMR 500,000 and the rate of depreciation is 10%p.a. Under Straight line method. Replacement cost of the asset on 31st December 2019 was OMR 700,000 and on 31st December 2020 was OMR 1,000,000. You are required to calculate for 2020 assuming switch year is made in the current year, the value of Backlog depreciation. a. OMR 50,000 b. None of these are correct c. OMR 85,000 d. OMR 15,000
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