Orion Flour Mills purchased a new machine and made the following expenditures: Purchase price $ 75,000 Sales tax 6,000 Shipment of machine 1,000 Insurance on the machine for the first year 700 Installation of machine 2,000 The machine, including sales tax, was purchased on account, with payment due in 30 days. The other expenditures listed above were paid in cash. Required: Record the above expenditures for the new machine.

Q: Jonas Company purchased a photocopier that cost $15,000. The copier was expected to last for 1.25…

A: Year Account Titles and Explanation  Debit   Credit  1 Machine  $ 15,000     Cash    $ 15,000…

Q: Nelson Company purchased equipment and incurred the following costs: Cash price = $55,000 Sales…

A: Definition: Property, plant, and equipment: These assets are long-lived economic resources which are…

Q: HnH Solutions acquired a machine by making the following payments: Net cash price Rs. 116,000…

A: Journal is a place where journal entries are recorded in the book keeping system before ledger…

Q: Oki Company pays $264,000 for equipment expected to last four years and have a $29,000 salvage…

A: Given information is:  Oki Company pays $264,000 for equipment expected to last four years and have…

Q: Oki Company pays $310,150 for equipment expected to last four years and have a $30,000 salvage…

A: A journal entry is the act of recording any transaction, whether one that is economic or not. An…

Q: Champion Contractors completed the following transactions involving equipment. Year 1 January 1 Paid…

A: The journal entries are prepared to record the transactions on regular expenses. The major expenses…

Q: a. Paid $40,000 cash to replace a motor on equipment that extends its useful life by four years. b.…

A: Solution 1: Expenditure that increase the potential benefits from assets is considered as capital…

Q: A tax- and duty-free importation of a 30-horsepower sand mill for paint manufacturing costs P400,000…

A: Solution on next page

Q: Oki Company pays $285,200 for equipment expected to last four years and have a $30,000 salvage…

A: The minor expenses related to fixed assets are recorded as repairs and maintenance expenses.  The…

Q: 1)  Darling Paper Container, Inc. purchased several machines at a total cost of $300,000. The…

A: MACRS is the rate of depreciation which is used for calculation of taxable income. Here depreciation…

Q: Dorothea Company acquired several fixtures for its new building, including display cases, shelves…

A: The Company acquired several fixtures for its new building, including display cases, shelves and…

Q: A tax and duty-free importation of a 30-horsepower sand mill for paint manufacturing costs P360,000,…

A: Facts of the question:  Import cost of sand mill = P360,000 Bank, brokerage charges = P5,000…

Q: Flowerworks Corporation purchases a vehicle for $32,800 to deliver flowers to the surrounding…

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

Q: A tax and duty free importation of a 30 horse power sand mill for paint manufacturing cost 400,000…

A: Total cost of the mill = Manufacturing cost + Bank charges arrester and brokerage cost + Foundation…

Q: Mercury Delivery Service completed the following transactions involving equipment. Year 1 Jan. 1…

A: Depreciation is defined as the reduction in the value of assets because of the continuous use or…

Q: Blake furniture recently purchased new equipment for its plant. The list price of the equipment was…

A: In accounting, consistency is defined as an accounting principles of the company over the period of…

Q: a. Do you agree that depreciation is often considered as major source of funds? Why? b. Which…

A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: capitalized amount of the equipment?

A: Meaning of Capitalized costs Capitalized costs includes all the fixed costs incurred in purchase of…

Q: Oaktree Company purchased new equipment and made the following expenditures: Purchase price $45,000…

A: Determine acquisition cost of the equipment.

Q: Xpress Delivery Service completed the following transactions and events involving the purchase and…

A: Prepare the journal entries:

Q: to the tax authorities. Explain how both of these

A: Note: Since you have posted a question with multiple sub-parts, we will solve first three subparts…

Q: During the year just ended, Morton Company made the following expenditures relating to its plant…

A: Any amount spent on repairs and maintenance that does not add/increase the value of the asset should…

Q: Ngo Company purchased a truck for $54,000. Sales tax amounted to $5,400; shipping costs amounted to…

A: Costs to be capitalised are total costs incurred on acquisition or purchase of fixed assets and all…

Q: Extra Corporation is installing a new machine at its production facility. It has incurred these…

A: Cost of property , plant and equipment includes purchase price ( less trade discount ) , taxes ( if…

Q: Oaktree Company purchased new equipment and made the following expenditures: Purchase price Sales…

A: The cost of equipment includes the purchase price, sales tax, freight costs, installation costs or…

Q: Dive Company purchased equipment on January 1 at a list price of ¥750,000, with credit terms 2/10,…

A: Net purchase price = Purchase price - cash discount = 750000 - 15000 = 735000

Q: A machine was purchased for $7,000, terms 2/10, n/60, FOB vendor's factory. The invoice was paid…

A: Given that, Cost of machine = $7,000  Trade discount = $7,000 * 2% = $140  Freight charges = $175…

Q: An industrial plant bought a generator set for ₱90,000. Other expenses including installation…

A: Sum-of-the-years'-digits = 1+2+3+4+5+6+7+8+9+10+11+12+13+14+15+16+17…

Q: Abbott placed into service a flexible manufacturing cell costing $850,000 early this year for…

A: a) Computation of taxable income for the first year:Sales-(Deductible…

Q: Oaktree Company purchased new equipment and made the following expenditures: Purchase price Sales…

A: Introduction: Accounting journal entries are used for physical payment transactions in the…

Q: Health Guard Labs, a pharmaceutical company, recently purchased a new pill dispensing machine. The…

A: 1) Computation:

Q: Orion Flour Mills purchased a new machine and made the following expenditures:…

A:

Q: Champion Contractors completed the following transactions involving equipment Year 1 January 1 Paid…

A: Depreciation expense using straight line method : = ( Cost - salvage value ) / Useful Life Revised…

Q: 1) Rocky Mountain Water Corporation paid $270,000 to purchase equipment for use in its manufacturing…

A: Equipment is the non-current asset that is used by the entities for the purpose of running the…

Q: Daly Publishing Corporation recently purchased a truck for $43,000. Under MACRS, the first year's…

A: Depreciation refers to the gradual decrease in the value of an asset over time. Depreciation of an…

Q: Orion Flour Mills purchased a new machine and made the following expenditures: Purchase price…

A:

Q: tax and duty free importation of a 30 HP sandmill (for paint manufacturing) cost ₱360,000, CIF…

A: Given data: Purchase Cost =  ₱360,000 Other Cost =  ₱25,000 + ₱ 20,000                     =…

Q: Oki Company pays $283,500 for equipment expected to last four years and have a $30,000 salvage…

A: Any expenditure that increases the performance or life of the equipment should be capitalized (i.e.,…

Q: Worf Co. both purchases and constructs various equipment it uses in its operations. The following…

A: Cost: The amount paid to purchase the asset, install it, and put it into operations, is referred to…

Q: An industrial plant bought a generator set for 90,000. Other expenses including installation…

A: Depreciation Expenses: It is the portion of a fixed asset which  has been considered  as  utilized…

Q: Bonus Corporation is installing a new machine at its production facility. It has incurred these…

A: Net Purchase price  = Purchase price  - input tax = 2800000-300000 = P2,500000

Q: Oaktree Company purchased new equipment and made the following expenditures: Purchase price Sales…

A: Cost of the Equipment = Purchase Price + Sales Tax + Freight Charges for shipment of machine +…

Q: Jonas Company purchased a photocopier that cost $15,000. The copier was expected to last for 1.25…

A: Given information is: Original cost = $15000 Total copies = 1.25 million

Q: Orion Flour Mills purchased a new machine and made the following expenditures:           Purchase…

A: The cost of machinery includes expenses that are incurred for making machinery ready to use. It…

Q: Abbott placed into service a flexible manufacturing cell costing $820,000 early this year for…

A: Taxable income(profit before tax) is gross income less all expenses i.e. deductible expenses,…

Q: Champion Contractors completed the following transactions involving equipment.   Year 1 January 1…

A: Annual Depreciation (straight line method) = (Cost of the assets - Residual value) / Expected life…