Light Company bought a machine for ₱300,000 on January 1, 20x8. The machine's useful life is 10 years and it is estimated to have a zero residual value and is depreciated using the straight-line method.        The revalued amount of the machine is as follows:          December 31         Fair values of the machine       20x8                      ₱ 360,000           what is the amount of revaluation surplus transferred to retained earnings during 20x9

Q: NUBD Co. purchased a new machine on January 1, 2021 for P350,000. The machine is expected to have a…

A: We have in the question, Initial Investment = P 350,000 Useful life = 8 years Discount Rate is 15%…

Q: Wether purchased a machine on 1 July 2007 for GHS500,000. It is being depreciated on a straight line…

A: Depreciation on safety guard=CostUseful life×312=GHS 25,0005×312=GHS 1,250

Q: On January 1, 2018, Alan Company purchased an equipment for P8,000,000. The equipment is depreciated…

A: Gain is the amount of money earned on the sale of assets.

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A: The company uses cost model to recognize assets. So the decrease in decommissioning liability will…

Q: Assume a company purchased a forklift on May 2, 20Y6 for $23,000. The residual value of the forklift…

A: Formula: Straight line method depreciation = ( Asset cost - Salvage value ) / Useful life

Q: The Hong Company purchased for P240,000 cash on July 1, 2014 a machine with an estimated useful life…

A: Useful life (In Months) = 10 years  x 12 months = 120 months Monthly Depreciation Expense = ( Cost…

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A: Impairment in asset implies the reduction in the value of the asset. Impairment of fixed asset can…

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A: In this question , we will find depreciation by straight line method and double- declining balance…

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A: First of all, the timing difference need to be calculated as follows: Next, we shall find the…

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A: Particulars Amount $ Initial cost 260520 Less: Accumulated Depreciation 247494 Book value on…

Q: What is the impact of the error in 2022 net income?

A: Hardy Man Inc. incurred repair costs of a machine in 2021 for P 30,000 and erroneously capitalized…

Q: Use the following information for the next four items: Light Company bought a machine for P300,000…

A: “Since you have asked multiple questions, we will solve one question for you. If you want any…

Q: ool Company owns an equipment costing P5,200,000 with original residual value of P400,000. The life…

A: solution given Cost 5200000 Original residual value 400000 Useful life 10 years…

Q: NUBD Co. purchased a new machine on January 1, 2021 for P350,000. The machine is expected to have a…

A: Here, Initial Investment in Machinery is P 350,000 Useful life of machinery(n) is 8 years PV of…

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A: The recorded value of the old machine should be the fair market value of the old machine and the…

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A: Timing Difference: It is the differences between accounting income and taxable income due to…

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A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If…

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A: Capitalized cost is the one which is computed over a certain period of time, starting from the…

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A: Exchange of asset with no commercial substance is a condition in which the transfer or exchange of…

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A: Capitalized costs are depreciated or amortized over time instead of being expensed immediately. The…

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A: Concept of Impairment of assets

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A:

Q: Wildhorse Enterprises purchased equipment on March 15, 2021, for $70,220. The company also paid the…

A: Introduction:- A cost is the value of money spent on creating something or delivering a service that…

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A: Revaluation Reserve: When a firm adds a line item on its balance sheet for the purpose of keeping a…

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A: Depreciation is the method of accounting which is used for allocating the cost of physical or…

Q: Wetherby purchased a machine on 1 July 20X7 for $500,000. It is being depreciated on a straight line…

A: We have the following information: Wetherby purchased a machine on 1 July 20X7 for $500,000  It is…

Q: On January 1, 20x1, ABC Company acquired a machine with an invoice price of ₱300,000 subject to a…

A: Discount on payment =  invoice price x discount rate = ₱300,000 x 2% = ₱6,000

Q: Boston's Wonderland paid $60,000 for a concession stand. Depreciation was recorded by the…

A: Under straight line depreciation Depreciation= (Cost-salvage value)/useful life

Q: amela Company acquired a welding machine on account with an invoice price of P5,000,000 subject to a…

A: Depreciation under the Straight Line method is computed under the following method: Depreciation =…

Q: Jamela Company acquired a welding machine on account with an invoice price of P5,000,000 subject to…

A: Cost of asset includes the invoice price less any cash discount and all other costs which are…

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A: The cost which is incurred to bring the machine into a working form will be capitalized

Q: Synthia, Inc., a clothing manufacturer, purchased a sewing machine for P10,000 on July 1, 20x1. The…

A: Impairment loss is incorrect because it is calculated when the fair value of any asset (or…

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A: Straight line method: Straight line basis is a method of calculating depreciation and amortization,…

Q: gain or loss from this sale

A: Annual depreciation under straight line method = (Cost - Residual value)/Estimated life in years…

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A: Introduction: Corning Industries hold a patent that costs $77,000 to acquire. At the end of the…

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Q: An old cooler with a recorded cost of P150,000 and accumulated depreciation of P140,000 was sold for…

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Q: Burrell Company purchased a machine for $33,000 on January 2, 2016. The machine has an estimated…

A: Straight Line Method: Depreciation per year=(Cost-Residual value)Useful Life=($33,000-$0)5…