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MODULE 5 PARRISH 8-4 USE OF ASSET Please take a look at the question below and give the correct answer and please explain the transaction and how it would be recorded.  Thank you!   Wee Small Company has an asset that was just purchased.  THe cost of hte asset was $72,000.  The company has determined that the salvage value is $2,000, and the life of the asset is five years.  Depreciation is straight-one. 1) Journalize the entry to record depreciation for the first year of the asset's life. 2) Journalize the entry to record depreciation for the first month of the asset's life

MODULE 5 PARRISH 8-4 USE OF ASSET Please take a look at the question below and give the correct answer and please explain the transaction and how it would be recorded.  Thank you!   Wee Small Company has an asset that was just purchased.  THe cost of hte asset was $72,000.  The company has determined that the salvage value is $2,000, and the life of the asset is five years.  Depreciation is straight-one. 1) Journalize the entry to record depreciation for the first year of the asset's life. 2) Journalize the entry to record depreciation for the first month of the asset's life

Corporate Financial Accounting
Corporate Financial Accounting
14th Edition
ISBN:9781305653535
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter9: Long-term Assets: Fixed And Intangible
Section: Chapter Questions
Problem 9.5APR
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MODULE 5 PARRISH 8-4 USE OF ASSET

Please take a look at the question below and give the correct answer and please explain the transaction and how it would be recorded.  Thank you!

 

Wee Small Company has an asset that was just purchased.  THe cost of hte asset was $72,000.  The company has determined that the salvage value is $2,000, and the life of the asset is five years.  Depreciation is straight-one.

1) Journalize the entry to record depreciation for the first year of the asset's life.

2) Journalize the entry to record depreciation for the first month of the asset's life

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