The allowance method for accounting for uncollectible accounts is based on which of the following principles?   Based on the following information how much is depreciation for 2020?   Machine Purchased – July 1, 2019 Purchase Price - $150,000 Salvage Value -    $12,000 Life – 15 years Method – Straight-Line Method

Q: Equipment was purchased at the beginning of 2019 for P204,000. At the time of its purchase, the…

A: Solution: Original annual depreciation = (Cost - Residual value) / useful life = (P204,000 -…

Q: Citi Company purchased factory equipment on March 10, 2019. The company accountant revealed the…

A: Depreciation is a demunition [reduction] in the value of an asset on account…

Q: On January 01, 2019, the AI Wadi Company purchased machinery for OR 45,000. The estimated useful…

A: Depreciation:-It is the reduction in the value of the assets due to normal wear and tear. It is the…

Q: using sum of years’ digits? What is the depreciation for 2020 using sum of years’ digits? What is…

A: 1. Answer: a The gap of 1st April to 31st December in the year 2019 is 9 months; therefore, the…

Q: Cruz Company purchased a computer on June 30, 2020, for $16,800. The computer had a salvage value of…

A: Depreciation means the loss in value of assets because of usage of assets , passage of time or…

Q: Presented below is information related to equipment owned by Davis Company at December 31, 2020.…

A: Impairment of Assets:Impairment of an asset refers to sudden decrease of the present value of…

Q: PIKACHU purchased an equipment for 540,000 on January 1, 2020. The equipment has an estimated…

A: The calculation of depreciable cost has been made as follows: Depreciable cost=Purchase…

Q: a) Prepare the journal entry (if any) to record the impairment of the asset at December 31, 2020.…

A: a     Account Titles and Explanation Debit Credit Loss on impairment 3,648,000…

Q: . On January 1, 2019, Tarlac Company acquired a machine for P4,500,000. The machine has a useful…

A: Depreciation is a method of accounting that distributes the expense of a tangible or physical asset…

Q: Assume that Carleton reported the following information regarding a machine at December 31, 2019:…

A: Impairment refers to the situation when an asset of the company falls short in its fair market value…

Q: Kam Company purchased a machine on January 2, 2019, for $20,000. The machine had an expected life of…

A: Depreciation in accounting can be calculated by different methods. Method of depreciation may also…

Q: Bataan Company purchased a machinery that was installed and ready for use on January 1, 2019 at a…

A: Depreciation is an expense which is recorded in the income statement of the firm. There are various…

Q: Bonita Industries purchased a machine for $66800 on July 1, 2020. The company intends to depreciate…

A: Double-declining balance method (Accelerated method): In this method of depreciation, the…

Q: On April 1, 2019, Coronado Industries purchased new machinery for $453000. The machinery has an…

A: The depreciation expense is charged on fixed assets as reduction in value of fixed assets with the…

Q: On January 1, 2019, Clemente Company purchased a new truck for $14,700. Its estimated useful life is…

A: Formula: Units of Production Depreciation expense = ( Asset cost - Salvage value ) / Total Estimated…

Q: Scott Company purchased equipment for $350,000 on 2020. It is estimated that the equipment will have…

A: Depreciation expense is a non cash expense and it is charged each year for the amount of asset…

Q: On May 1, 2019 equipment worth $40,000 was purchased with cash.  Assuming straight-line method of…

A: Depreciation refers to reduction in value of an asset over a period of time due to usage of asset in…

Q: Brown Corporation sold a piece of equipment on June 30, 2020 for $150,000 cash. The equipment had…

A: Depreciation describes the expenses of wear & tear while using the asset for the organization.…

Q: Bautista Organizers purchased an equipment costing P50,000 on July 1, 2018. The equipment has an…

A: Accumulated depreciation refers to the total deprecation charges till a particular point. This can…

Q: On January 1, 2019, Williams Company purchased a copy machine. The machine costs $160,000, its…

A: Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of the…

Q: Hardy Man, Inc., acquired a machine in 2021 for P 400,000 and erroneously charged the cost to an…

A: The straight line method of calculating depreciation is the most simplest way to determine…

Q: PIKACHU purchased an equipment for P540,000 on January 1. 2020. The equipment has an estimated…

A: Fixed assets means the asset which is used by company for many years to come for the purpose of…

Q: An equipment had a cost of $900,000 with a depreciation amount of $400,000 as at December 31, 2019.…

A: A fixed asset is impaired if the carrying value of the asset is less than the value in use. Book…

Q: On July 1, 2019, Cullumber Company purchased new equipment for $85,000. Its estimated useful life…

A:

Q: n January 1, 2019, ABC Company acquired a machine for 4,500,000. The machine has a useful life of 10…

A: A corporation can use the revaluation model to carry a fixed asset at its revalued value. Following…

Q: An equipment costing P375,000 with an eight-year estimated useful life and an estimated residual…

A: Life of equipment = 8 Years Sum of years digits = 8+7+6+5+4+3+2+1 = 36 Cost = P375,000 Salvage value…

Q: An equipment was acquired for P3,000,000 on Jan. 1, 2018. It is being depreciated to a salvage value…

A: Journal entry: An act of recording the daily transaction of a firm in the journal is called journal…

Q: A company purchases equipment for $40,000 on Aug 1, 2019. It estimates that the equipment will have…

A: Depreciation = Cost of equipment - Salvage value / Useful life of asset                        = $…

Q: Clifford Delivery Company purchased a new delivery truck for $45,000 on April 1, 2019. The truck is…

A: Since, we answer only upto 3 sub-parts, we shall answer first three. Please resubmit a new question…

Q: Tamarisk Company purchased a computer for $9,280 on January 1, 2019. Straight-line depreciation is…

A: Depreciation is a reduction in the value of assets due to the usage of that asset. We can evaluate…

Q: Hardy Man, Inc., acquired a machine in 2021 for P 400,000 and erroneously charged the cost to an…

A: Depreciation means the amount fixed assets written off due to normal wear and tear , normal usage ,…

Q: Marigold A.Ş. purchased a piece of equipment at the beginning of 2019. The equipment cost t 431,720.…

A: Sum of year = 8 + 7 + 6 + 5 + 4 + 3 + 2 + 1 = 36

Q: On January 01, 2019, the AI Wadi Company purchased machinery for OR 45,000. The estimated useful…

A: Double-declining-balance method: The depreciation method which assumes that the consumption of…

Q: SYD method, how much is the depreciation expense

A: Estimated useful life = 5 years Sum of years' digits = 5 + 4 + 3 + 2 + 1 = 15

Q: On January 1, 2019, Tarlac Company acquired a machine for P4,500,000. The machine has a useful life…

A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets…

Q: On July 1, 2020, Concord Corporation purchased factory equipment for $283000. Salvage value was…

A: Solution: Under Double declining balance method of depreciation, depreciation is based on double the…

Q: Presented below is information related to equipment owned by Sheridan Company at December 31, 2020.…

A: Working Note; Carrying value = Cost - Accumulated Depreciation                         = $9,630,000…

Q: On July 1, 2019, Cullumber Company purchased new equipment for $90,000. Its estimated useful life…

A: Purchase value of asset is = 90000 Salvage value is 12000 So depreciable value is = 90000 -12000…

Q: Prepare all necessary journal entries for 2020, 2021, and 2022 related to each of the following…

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

Q: The Depreciators Inc purchases and begins using equipment costing $175 on Sept 1, 2020. There was an…

A: Here in this question, we are required to calculate net book value of equipment as of December…

Q: Presented below is information related to equipment owned by Vaughn Company at December 31, 2020.…

A: Impairment loss = Carrying value - Recoverable value where, Recoverable value = Lower of Fair value…

Q: Sami Products purchased a machine for $85,000 on July 1, 2020. The company intends to depreciate it…

A: Double declining balance method is a method of depreciation under which depreciation is charged as…

Q: A depreciable property costing P1,000,000 with original residual value of P100,000 after 10 years,…

A: Depreciation is the wear and tear of the asset. It occurs due to: Passage of time Usage…

Q: On August 2019, a company purchased an equipment for 33,000 $, which is expected to have ten useful…

A: Declining Balance Method  Depreciation rate = 1 - Salvage valueCostYears Double Declining Method…

Q: A company purchased a piece of equipment for $30,000 on May 1, 2019. Management estimates a salvage…

A: Depreciation expense is part of cost of the asset charged as expense in the income statement.…

Q: Assume that Carleton reported the following information regarding a machine at December 31, 2019:…

A: Reduction in the value of the asset due to factors such as technological changes, physical damage to…

Q: The company has the following balances on the Unadjusted Trial Balance for the year Dec. 31, 2019:…

A: Depreciation: Depreciation means the reduction in the value of an asset over the life of the assets…

Q: PIKACHU purchased an equipment for P540,000 on January 1, 2020. The equipment has an estimated…

A: Sum of year digit method is a depreciation method where the depreciation for the year is calculated…

Q: Equipment was purchased at the beginning of 2019 for $820000. At the time of its purchase, the…

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