x
Info
x
Warning
x
Danger
 / 
 / 
 / 
12) A photocopier costs $95,000 when new and has accumulated

Question : 12) A photocopier costs $95,000 when new and has accumulated : 1412229

 

12) A photocopier costs $95,000 when new and has accumulated depreciation of $88,000. Suppose the corporation junks this machine and receives nothing. What is the result of the disposal transaction?

A) loss of $ 7,000

B) no gain or no loss

C) loss of $ 11,000

D) gain of $ 7,000

 

 

13) A truck costs $300,000 and is expected to run 100,000 miles during its 5-year life. Residual value is expected to be zero because the truck was used when acquired. If the truck runs 24,000 miles the first year, how much depreciation should the corporation record under the units-of-production method?

A) $85,000

B) $24,000

C) $72,000

D) $47,000

14) Prinkle Corporation had purchased equipment for $50,000 on January 1, 2015. On December 31, 2017, the corporation sold the equipment for $23,000. Accumulated Depreciation as of December 31, 2017 was $25,000.

Calculate gain or loss on sale.

A) $2,000 gain

B) $2,000 loss

C) no gain no loss

D) $25,000 loss

 

15) Trimer Corp sold a truck for $15,000 cash. It was originally purchased for $50,000 and had accumulated depreciation of $30,000 at the time of sale. Give the journal entry for the sale of truck.

 

16) Trimer Corp. junks a truck which was originally purchased for $50,000 and had accumulated depreciation of $30,000. Give journal entry for disposal of truck.

 

17) On June 30, 2015, Regal Furniture discarded fully depreciated equipment costing $35,000. Journalize the disposal of the equipment.

18) Equipment was purchased for $24,000. The equipment's estimated useful life was 5 years, and its residual value was $4,000. The straight-line method of depreciation was used. Calculate gain or loss on sale if the equipment is sold for $18,000 at the end of the first year. Give journal entry to record the sale of equipment at book value.

 

 

 

 

Solution
5 (1 Ratings )

Solved
Finance 2 Years Ago 202 Views
This Question has Been Answered!
Unlimited Access Free
Explore More than 2 Million+
  • Textbook Solutions
  • Flashcards
  • Homework Answers
  • Documents
Signup for Instant Access!
Ask an Expert
Our Experts can answer your tough homework and study questions
275781 Finance Questions Answered!
Post a Question