The Joyful Company purchased a machine on November 1, 2019 for P296,000. At the time of acquisition, the machine was estimated to have a useful life of ten years and estimated salvage value of P8,000. Joyful has recorded monthly depreciation using the straight-line method. On July 1, 2028, the machine was sold for P26,000. What should be the loss recognized from the sale of the machine? (whole numbers with comma to separate thousand and without peso sign)

Q: Sheridan Company purchased a machine on January 1, 2019, for $837000. At the date of acquisition,…

A: The question is related to the Chnage in Accounting Estimates. Chnage in Accounting Estimates is…

Q: On January 1, 2021, Truesdale, Incorporated, purchased a piece of machinery for use in operations.…

A: Double declining balance method is the double rate of depriciation charged in straight line…

Q: Equipment was purchased at the beginning of 2019 for $740000. At the time of its purchase, the…

A: Solution: Cost of equipment = $740,000 Initial estimated salvage value = $89,000 Useful life = 6…

Q: Evan Company purchased a machine for $1,400,000 on January 1, 2019. Evan estimates the machine will…

A: Annual depreciation = Cost - Salvage valueEstimated useful life =$1,400,000 -$200,000 10 Years  =…

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, 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: Rayya Company purchases a machine for $100,800 on January 1, 2021. Straight line depreciation is…

A: Journal entries are the official records of financial transactions conducted by a firm or an…

Q: Cellphone Company purchased an equipment on January 2, 2017 for P3,000,000. At the date of…

A: Depreciation per year =Cost of the equipment-salvage valueuseful life=3,000,000-06=500,000.…

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

A: Depreciation expense is the cost portion which is allocated to the fixed assets of the company and…

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: Richard Co. incurred research and development costs in 2021 as follows: Equipment acquired for use…

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

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: XYZ Company purchased a machine on January 1, 2022, for $50,000. The machine has an estimated useful…

A: Depreciation expenditures are a financial representation of an asset's wear and tear, aging, or…

Q: Rayya Company purchases a machine for $126,000 on January 1, 2021. Straight-line depreciation is…

A: The objective of the question is to calculate the depreciation for the partial year and to record…

Q: Crane Company purchased a machine on July 1. 2020, for $900000. The machine has an estimated useful…

A: The declining balance method is a method of charging the depreciation in which the higher amount of…

Q: For the year 2020, how much should be recognized as depreciation expense?

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

Q: On January 1, 2021, Mama Company purchased a machine for P2,750,000. The machine was depreciated…

A: Solution.      Cost = P2,750,000  Life (N) = 10 years  Sum of years of digits  = N (N + 1) ÷ 2  = 10…

Q: Vaughn Company purchased a new machine on September 1, 2022, at a cost of $134,000. The company…

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

Q: On January 5, 2021, Lighter Company acquired a building. The building had an estimated useful life…

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

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

A: Solution: Original annual depreciation using SLM = (Cost - Residual value) / useful life =…

Q: he 150% declining-balance method. For the year ended December 31, 2020, Sheridan should record…

A: The declining balance method is a method of charging the depreciation in which the higher amount of…

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

A: Calculation of depreciation as per sum digit method   As per sum digit method =  ( 5 + 4 + 3 + 2 + 1…

Q: n August 31, 2019, CAMELLIA Company purchased a new machinery for ₱540,000. The machinery has an…

A: Solution: Purchase price of machinery = ₱540000 Estimated useful life = 5 years Estimated salvage…

Q: Coachwhip Corporation purchased a machinery on January 1, 2022 for P5,000,000. The same had an…

A: As per straight line method of depreciation Depreciation per annum = (cost - Residual value) /useful…

Q: Nash Company purchased a computer for $8,160 on January 1, 2019. Straight-line depreciation is used,…

A: Given, Cost of asset = $8,160 Residual value before change = $1,020 Residual value after change =…

Q: On January 5, 2021, Lighter Company acquired a building. The building had an estimated useful life…

A: Sum of years' digits of useful life = 1+2+3+4+5+6+7+8+9+10 = 55 years Depreciation fraction of 2021…

Q: BLACK JACK Company purchased an automotive equipment on June 30, 2018 for P3,000,000. At the date of…

A: Depreciation is charged on the value of fixed assets due to normal usage , wear and tear and change…

Contingent Liabilities and Provisions

A contingent liability can be defined as a liability the occurrence of which is dependent upon the happening of an uncertain future event. It is generally recorded in the books only when the amount of liability can be reasonably estimated and the contingency is likely to occur shortly.