On July 1, 2019, Ivanhoe Company purchased new equipment for $90,000. Its estimated useful life was 5 years with a $12,000 salvage value. On December 31, 2022, the company estimated that the equipment's remaining useful life was 10 years, with a revised salvage value of $5,000.

On July 1, 2019, Ivanhoe Company purchased new equipment for $90,000. Its estimated useful life was 5 years with a $12,000 salvage value. On December 31, 2022, the company estimated that the equipment's remaining useful life was 10 years, with a revised salvage value of $5,000.

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

Chapter11: Depreciation, Depletion, Impairment, And Disposal

Section: Chapter Questions

Problem 17P: On December 31, 2019, Vail Company owned the following assets: Vail computes depreciation and...

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Question

I NEED HELP WITH THIS QUESTION.

Compute the revised annual depreciation on December 31, 2022.
Revised annual depreciation
eTextbook and Media
List of Accounts
Prepare the journal entry to record depreciation on December 31, 2022. (Credit account titles are automatically indented when
amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Account Titles and Explanation
Debit
Credit
eTextbook and Media
List of Accounts
Compute the balance in Accumulated Depreciation-Equipment for this equipment after depreciation expense has been
recorded on December 31, 2022.
Accumulated Depreciation-Equipment

On July 1, 2019, Ivanhoe Company purchased new equipment for $90,000. Its estimated useful life was 5 years with a $12,000
salvage value. On December 31, 2022, the company estimated that the equipment's remaining useful life was 10 years, with a
revised salvage value of $5,00O.
Prepare the journal entry to record depreciation on December 31, 2019. (Credit account titles are automatically indented when
amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.)
Account Titles and Explanation
Debit
Credit
HE
eTextbook and Media
List of Accounts
Prepare the journal entry to record depreciation on December 31, 2020. (Credit account titles are automatically indented when
account titles and enter O for the amounts.)
amount is entered
not indent manually. If no entry is required, sele
"No Entry" for
Account Titles and Explanation
Debit
Credit

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