The BAKAL Company purchased a machine on November 1, 2011, for P148,000.  At the time of acquisition, the machine was estimated to have a useful life of ten years and an estimated salvage value of P4,000.BAKAL has recorded monthly depreciation using the straight-line method. On July 1, 2020, the machine was sold for P13,000. Your audit shows that the accountant record the sale by debiting cash P13,000 and crediting machine P13,000.                   What should be the loss recognized from the sale of the machine to correct the record?   Answer in figures, ignore peso sign.

Q: Mazaya Company purchased equipment on January 1, 2010, at a total invoice cost ofR.O. 400,000. The…

A: Annual depreciation = ( cost of the assets - residual value) / Life of the assets = (RO 400,000 - RO…

Q: Archer Company purchased equipment in January of 2011 for P90,000. The equipment was being…

A: Depreciation Expense (Straight Line Method) = Cost - Salvage ValueUseful Life of an Asset

Q: Love Company purchased a machine on April 1, 2017 for P750,000.  At that time, was determined that…

A: The depreciation expense is charged on fixed assets as reduced value of the fixed asset with usage…

Q: On January 2, 2017, Union Co. purchased a machine for P264,000 and depreciated it by the…

A: Depreciation expense for first 3 years = P264,000 / 8 years = P33,000 Accumulated depreciation,…

Q: Headland Co. purchased a machine on January 1, 2018, for $594,000. At that time, it was estimated…

A:

Q: Orange Company purchased a drilling machine in 2010 for P240,000. The machine was depreciated on the…

A: The depreciation is a reduction in the book value of the fixed asset of the business.

Q: The KOBE Company acquired a drilling machine on October 1,2013 at a cost of $250,000 and depreciated…

A: Capital Expenditure: It is the amount invested  by a company to acquire, upgrade, and maintain…

Q: On January 1, 2018, Kefauver Company purchased a piece of equipment for $375,000. The equipment had…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: Coppola Company purchased a machine on January 1, 2016, for $20,000 cash. In addition, Coppola paid…

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

Q: Vaughn Manufacturing purchased a new machine on May 1, 2012 for $566400. At the time of acquisition,…

A: Introduction: Depreciation: Decreasing value of fixed assets over its useful life period called as…

Q: On January 1, 2017, Jungkook Company purchased an equipment for P1,970,000. On this date, the…

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

Q: Fontaine Ltd. acquired a machine for $600,000 on January 1, 2022. The machine has a salvage value of…

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

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…

Q: On July 1, 2015, Karen Company purchased equipment for $325,000; the estimated useful life was 10…

A: Annual Depreciation = (Cost of the assets - Salvage value) / life of the assets = ($325000 - $40000)…

Q: On January 2, 2017, Union Co. purchased a machine for P264,000 and depreciated it by the…

A: The question is based on the concept of Depreciation Accounting.

Q: On January 1, 2011, RIGHTEOUS MORAL Co. acquired a piece of equipment for ₱2,000,000. The equipment…

A: Discount rate = 10% Revised useful life = 4 years Annual cash flows from revenues = P200,000 Present…

Q: Rayya Co. purchases and installs a machine on January 1, 2017, at a total cost of $134,400.…

A: Straight-line depreciation: Straight-line depreciation is one of the common methods of depreciation…

Q: Awni Company purchased a new machine on May 1, 2010 for €44,000. At the time of acquisition, the…

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

Q: On January 1,2013, Edition Company purchased an equipment for P1,970,000. On this date, the…

A: Depreciation is an expense which usually charged on the fixed or non-current assets over the years…

Q: The Fisher Company purchased a machine on September 1, 2011, for $80,000. At the time of…

A: Annual Depreciation Expense = Cost - Residual ValueUseful Life   Monthly Depreciation = Annual…

Q: On January 1, 2018, CRIMSON Company purchased machineries for $10,560,000 and depreciated it by the…

A: As per IAS 8, Accounting policies,Changes in accounting estimates and errors A change in useful life…

Q: Chicken Wings Company purchased a copier for P447,150 on January 1, 2021. The estimated useful life…

A: Since the change in useful life is a change in accounting estimate the effect will be given…

Q: Shanahan Construction purchased a crane on January 1, 2015, for $102,750. At the time of purchase,…

A: Annual depreciation = (cost of the assets- residual value) /estimated life of the assets =…

Q: Teal Co. purchased a machine on January 1, 2018, for $588,500. At that time, it was estimated that…

A: Depreciation is the systematic decline in the value of non-current assets as a result of wear and…

Q: Joy Cunningham Co. purchased a machine on January 1, 2018, for $550,000. At that time, it was…

A:

Q: Dewey Corporation purchased a machine for $340,000 on January 1, 2012. The machine had an…

A: Depreciation is considered as an expense charge on the value of the Asset. The most common method…

Q: On January 1, 2010, Graham Company purchased a new machine for P2,100,000. The new machine has an…

A: SOLUTION   FORMULA =  ACCUMULATED DEPRECIATION  (SUM OF THE YEARS DIGIT METHOD) =(COST OF ASSET -…

Q: Mango Co. owns a machine that was bought on January 1, 2017, for P752,000. The machine was…

A: Depreciation Expenses:- These are those expenses that appear in the income statement of the company,…

Q: Rayya Co. purchases and installs a machine on January 1, 2015, at a total cost of $105,000.…

A: 1) Machine is sold for $45,500 Given, Cost of Machine = $105,000 Salvage Value =  Useful Life = 7…

Q: King Company purchased a machine on July 1, 2018 for P600,000. The machine has an estimated useful…

A: Depreciation means the fall in value of assets because of wear and tear , usage , passage of time or…

Q: Spears Corporation bought a machine on January 1, 2016. In purchasing the machine, the company paid…

A: solution given Cash paid for  asset $50000 Not issued $100000 Total cost of asset…

Q: On January 1, 2018, CRIMSON Company purchased machineries for P10,560,000 and depreciated it by the…

A: Depreciation is considered as an expense charge on the value of the Asset. It can be calculated by…

Q: On January 1, 2018, Kefauver Company purchased a piece of equipment for $375,000. The equipment had…

A: 1. Depreciation Expenses - Depreciation Expenses are the expense incurred on the wear and tear of…

Q: Babcock Company purchased a piece of machinery for $40,500 on January 1, 2019, and has been…

A: Journal entry is the process of recording the business transactions in the books of accounts for the…

Q: e)   11,200 Accumulated Depreciation-old melter (straight-line)   6,300 Secondhand fair value of old…

A: Depreciation is a term used in accounting to describe a method of allocating the cost of a tangible…

Q: On April 1, 2014, Brandy Company has a machine with a cost of P1,000,000 and accumulated…

A: In order to determine the carrying value of the assets, the accumulated depreciation is required to…

Q: On January 1, 2018, CRIMSON Company purchased machineries for $10,560,000 and depreciated it by the…

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

Q: CEE Corporation purchased a machine on January 1, 2016 by instalment, initially paying $1.000.000,…

A: The cost of the machine would be the price that would be paid on a cash basis immediately upon…

Q: Waterway Industries purchased machinery on January 2, 2015, for $860000. The straight-line method is…

A: Determine the book value at the end of 2020.

Q: On January 1, 2018, KingKong Corp. purchased an equipment with an estimated useful life of 8 years.…

A: Salvage Value P2,000 Useful Life (in years) 8 Sum of the year (1+2+3+4+5+6+7+8) 36…

Q: On January 1, 2007, Flax Co. purchased a machine for 528,000 and depreciated it by the straight-line…

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

Q: t-line method. On May 1, 2013, the machine was sold for $50,000. What should be the loss recognized…

A: The right answer is option a. $15,000

Q: Standard Company purchased a machine on January 1, 2009 for P500,000. At the time, it was determined…

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

Q: DEF manufacturing company, a calendar-year company, purchased a machine for P650,000 on January…

A: Cost of machine = Purchase price + Freight in + Installation cost + Testing cost = P650,000 + 5,000…

Q: Orange Company purchased a drilling machine in 2010 for P240,000. The machine was depreciated on the…

A: Purchase price of machine = P240,000 Salvage value = 0 Useful life = 20 Years

Q: Telimos purchased a machinery for 315,000 on May 1,2017. It is estimated that it will have a useful…

A: Cost of the machine=315,000 Salvage value of the machine=15,000 Useful life of the machine=10 years…

Q: Lugar Company purchased a piece of machinery for $28,500 on January 1, 2016, and has been…

A: Working note 1: Working note 2:

Q: Record any entries required on April 1, 2018.

A: Given information is: Original Cost = $240,000 Salvage Value = $40,000 Useful life = 10 years

Q: Orton Corporation, which has a calendar year accounting period, purchased a new machine for $80,000…

A: Calculate depreciation expense: Depreciation expense = (Purchase cost - salvage value) / useful life…