Hhi. What is the answr/solution to this problem? Depreciation by Two Methods; Sale of Fixed Asset New lithographic equipment, acquired at a cost of $843,750 on March 1 of Year 1 (beginning of the fiscal year), has an estimated useful life of five years and an estimated residual value of $72,600. The manager requested information regarding the effect of alternative methods on the amount of depreciation expense each year. On March 4 of Year 5, the equipment was sold for $123,600. Required: 1. Determine the annual depreciation expense for each of the estimated five years of use, the accumulated depreciation at the end of each year, and the book value of the equipment at the end of each year by the following methods: a. Straight-line method Year Depreciation Expense Accumulated Depreciation, End of Year Book Value, End of Year 1 $fill in the blank d67bc401dff703b_1 $fill in the blank d67bc401dff703b_2 $fill in the blank d67bc401dff703b_3 2 $fill in the blank d67bc401dff703b_4 $fill in the blank d67bc401dff703b_5 $fill in the blank d67bc401dff703b_6 3 $fill in the blank d67bc401dff703b_7 $fill in the blank d67bc401dff703b_8 $fill in the blank d67bc401dff703b_9 4 $fill in the blank d67bc401dff703b_10 $fill in the blank d67bc401dff703b_11 $fill in the blank d67bc401dff703b_12 5 $fill in the blank d67bc401dff703b_13 $fill in the blank d67bc401dff703b_14 $fill in the blank d67bc401dff703b_15 b. Double-declining-balance method Year Depreciation Expense Accumulated Depreciation, End of Year Book Value, End of Year 1 $fill in the blank d67bc401dff703b_16 $fill in the blank d67bc401dff703b_17 $fill in the blank d67bc401dff703b_18 2 $fill in the blank d67bc401dff703b_19 $fill in the blank d67bc401dff703b_20 $fill in the blank d67bc401dff703b_21 3 $fill in the blank d67bc401dff703b_22 $fill in the blank d67bc401dff703b_23 $fill in the blank d67bc401dff703b_24 4 $fill in the blank d67bc401dff703b_25 $fill in the blank d67bc401dff703b_26 $fill in the blank d67bc401dff703b_27 5 $fill in the blank d67bc401dff703b_28 $fill in the blank d67bc401dff703b_29 $fill in the blank d67bc401dff703b_30 2. Journalize the entry to record the sale assuming that the manager chose the double declining-balance method. If an amount box does not require an entry, leave it blank. fill in the blank 2e2c2e03200401b_2 fill in the blank 2e2c2e03200401b_3 fill in the blank 2e2c2e03200401b_5 fill in the blank 2e2c2e03200401b_6 fill in the blank 2e2c2e03200401b_8 fill in the blank 2e2c2e03200401b_9 fill in the blank 2e2c2e03200401b_11 fill in the blank 2e2c2e03200401b_12 3. Journalize the entry to record the sale in (2) assuming that the equipment was sold for $106,100 instead of $123,600. If an amount box does not require an entry, leave it blank. fill in the blank b02912069fb3038_2 fill in the blank b02912069fb3038_3 fill in the blank b02912069fb3038_5 fill in the blank b02912069fb3038_6 fill in the blank b02912069fb3038_8 fill in the blank b02912069fb3038_9 fill in the blank b02912069fb3038_11 fill in the blank b02912069fb3038_12

Hhi. What is the answr/solution to this problem? Depreciation by Two Methods; Sale of Fixed Asset New lithographic equipment, acquired at a cost of $843,750 on March 1 of Year 1 (beginning of the fiscal year), has an estimated useful life of five years and an estimated residual value of $72,600. The manager requested information regarding the effect of alternative methods on the amount of depreciation expense each year. On March 4 of Year 5, the equipment was sold for $123,600. Required: 1. Determine the annual depreciation expense for each of the estimated five years of use, the accumulated depreciation at the end of each year, and the book value of the equipment at the end of each year by the following methods: a. Straight-line method Year Depreciation Expense Accumulated Depreciation, End of Year Book Value, End of Year 1 $fill in the blank d67bc401dff703b_1 $fill in the blank d67bc401dff703b_2 $fill in the blank d67bc401dff703b_3 2 $fill in the blank d67bc401dff703b_4 $fill in the blank d67bc401dff703b_5 $fill in the blank d67bc401dff703b_6 3 $fill in the blank d67bc401dff703b_7 $fill in the blank d67bc401dff703b_8 $fill in the blank d67bc401dff703b_9 4 $fill in the blank d67bc401dff703b_10 $fill in the blank d67bc401dff703b_11 $fill in the blank d67bc401dff703b_12 5 $fill in the blank d67bc401dff703b_13 $fill in the blank d67bc401dff703b_14 $fill in the blank d67bc401dff703b_15 b. Double-declining-balance method Year Depreciation Expense Accumulated Depreciation, End of Year Book Value, End of Year 1 $fill in the blank d67bc401dff703b_16 $fill in the blank d67bc401dff703b_17 $fill in the blank d67bc401dff703b_18 2 $fill in the blank d67bc401dff703b_19 $fill in the blank d67bc401dff703b_20 $fill in the blank d67bc401dff703b_21 3 $fill in the blank d67bc401dff703b_22 $fill in the blank d67bc401dff703b_23 $fill in the blank d67bc401dff703b_24 4 $fill in the blank d67bc401dff703b_25 $fill in the blank d67bc401dff703b_26 $fill in the blank d67bc401dff703b_27 5 $fill in the blank d67bc401dff703b_28 $fill in the blank d67bc401dff703b_29 $fill in the blank d67bc401dff703b_30 2. Journalize the entry to record the sale assuming that the manager chose the double declining-balance method. If an amount box does not require an entry, leave it blank. fill in the blank 2e2c2e03200401b_2 fill in the blank 2e2c2e03200401b_3 fill in the blank 2e2c2e03200401b_5 fill in the blank 2e2c2e03200401b_6 fill in the blank 2e2c2e03200401b_8 fill in the blank 2e2c2e03200401b_9 fill in the blank 2e2c2e03200401b_11 fill in the blank 2e2c2e03200401b_12 3. Journalize the entry to record the sale in (2) assuming that the equipment was sold for $106,100 instead of $123,600. If an amount box does not require an entry, leave it blank. fill in the blank b02912069fb3038_2 fill in the blank b02912069fb3038_3 fill in the blank b02912069fb3038_5 fill in the blank b02912069fb3038_6 fill in the blank b02912069fb3038_8 fill in the blank b02912069fb3038_9 fill in the blank b02912069fb3038_11 fill in the blank b02912069fb3038_12

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter7: Operating Assets

Section: Chapter Questions

Problem 79.3C

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Hhi. What is the answr/solution to this problem?

Depreciation by Two Methods; Sale of Fixed Asset

New lithographic equipment, acquired at a cost of $843,750 on March 1 of Year 1 (beginning of the fiscal year), has an estimated useful life of five years and an estimated residual value of $72,600. The manager requested information regarding the effect of alternative methods on the amount of depreciation expense each year.

On March 4 of Year 5, the equipment was sold for $123,600.

Required:

1. Determine the annual depreciation expense for each of the estimated five years of use, the accumulated depreciation at the end of each year, and the book value of the equipment at the end of each year by the following methods:

a. Straight-line method

Year	Depreciation Expense	Accumulated Depreciation, End of Year	Book Value, End of Year
1	$fill in the blank d67bc401dff703b_1	$fill in the blank d67bc401dff703b_2	$fill in the blank d67bc401dff703b_3
2	$fill in the blank d67bc401dff703b_4	$fill in the blank d67bc401dff703b_5	$fill in the blank d67bc401dff703b_6
3	$fill in the blank d67bc401dff703b_7	$fill in the blank d67bc401dff703b_8	$fill in the blank d67bc401dff703b_9
4	$fill in the blank d67bc401dff703b_10	$fill in the blank d67bc401dff703b_11	$fill in the blank d67bc401dff703b_12
5	$fill in the blank d67bc401dff703b_13	$fill in the blank d67bc401dff703b_14	$fill in the blank d67bc401dff703b_15

b. Double-declining-balance method

Year	Depreciation Expense	Accumulated Depreciation, End of Year	Book Value, End of Year
1	$fill in the blank d67bc401dff703b_16	$fill in the blank d67bc401dff703b_17	$fill in the blank d67bc401dff703b_18
2	$fill in the blank d67bc401dff703b_19	$fill in the blank d67bc401dff703b_20	$fill in the blank d67bc401dff703b_21
3	$fill in the blank d67bc401dff703b_22	$fill in the blank d67bc401dff703b_23	$fill in the blank d67bc401dff703b_24
4	$fill in the blank d67bc401dff703b_25	$fill in the blank d67bc401dff703b_26	$fill in the blank d67bc401dff703b_27
5	$fill in the blank d67bc401dff703b_28	$fill in the blank d67bc401dff703b_29	$fill in the blank d67bc401dff703b_30

2. Journalize the entry to record the sale assuming that the manager chose the double declining-balance method. If an amount box does not require an entry, leave it blank.

		fill in the blank 2e2c2e03200401b_2	fill in the blank 2e2c2e03200401b_3
		fill in the blank 2e2c2e03200401b_5	fill in the blank 2e2c2e03200401b_6
		fill in the blank 2e2c2e03200401b_8	fill in the blank 2e2c2e03200401b_9
		fill in the blank 2e2c2e03200401b_11	fill in the blank 2e2c2e03200401b_12

3. Journalize the entry to record the sale in (2) assuming that the equipment was sold for $106,100 instead of $123,600. If an amount box does not require an entry, leave it blank.

		fill in the blank b02912069fb3038_2	fill in the blank b02912069fb3038_3
		fill in the blank b02912069fb3038_5	fill in the blank b02912069fb3038_6
		fill in the blank b02912069fb3038_8	fill in the blank b02912069fb3038_9
		fill in the blank b02912069fb3038_11	fill in the blank b02912069fb3038_12

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