Larkspur, Inc. owns equipment that cost $62,100 when purchased on January 1, 2017. It has been depreciated using the straight-line method based on an estimated salvage value of $3,900 and an estimated useful life of 5 years. Prepare Larkspur, Inc.’s journal entries to record the sale of the equipment in these four independent situations. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g.125. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) (a) Sold for $29,920 on January 1, 2020. (b) Sold for $29,920 on May 1, 2020. (c) Sold for $10,700 on January 1, 2020. (d) Sold for $10,700 on October 1, 2020.
Larkspur, Inc. owns equipment that cost $62,100 when purchased on January 1, 2017. It has been depreciated using the straight-line method based on an estimated salvage value of $3,900 and an estimated useful life of 5 years. Prepare Larkspur, Inc.’s journal entries to record the sale of the equipment in these four independent situations. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Round answers to 0 decimal places, e.g.125. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) (a) Sold for $29,920 on January 1, 2020. (b) Sold for $29,920 on May 1, 2020. (c) Sold for $10,700 on January 1, 2020. (d) Sold for $10,700 on October 1, 2020.
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter22: Accounting For Changes And Errors.
Section: Chapter Questions
Problem 9P: At the end of 2020, while auditing Sandlin Companys books, before the books have been closed, you...
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Question
Larkspur, Inc. owns equipment that cost $62,100 when purchased on January 1, 2017. It has been
Prepare Larkspur, Inc.’s
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(a)
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Sold for $29,920 on January 1, 2020. | |
|---|---|---|
|
(b)
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Sold for $29,920 on May 1, 2020. | |
|
(c)
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Sold for $10,700 on January 1, 2020. | |
|
(d)
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Sold for $10,700 on October 1, 2020. |
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