Abbott Landscaping purchased a tractor at a cost of $29,000 and sold it three years later for $15,700. Abbott recorded depreciation using the straight-line method, a five-year service life, and a $4,000 residual value. Tractors are included in the Equipment account.

Required:
Record the sale of equipment.

Answers

Answer 1

Answer:

Cash                                             15700 Dr

Accumulated depreciation         15000 Dr

   Equipment - Tractor                       29000 Cr

   Gain on sale - Equipment               1700 Cr

Explanation:

The straight line method of depreciation charges a constant depreciation expense per year throughout the useful life of the asset. The formula for depreciation expense under this method is,

Depreciation expense = (Cost - Residual value) / Estimated useful life of the asset

Depreciation expense per year = (29000 - 4000) / 5 = $5000 per year

As the asset was sold after three years, the accumulated depreciation on the asset would be = 5000 * 3 = $15000

The NBV or carrying value of the asset will be = 29000 - 15000 = 14000

The gain on sale of equipment will be = 15700 - 14000 = $1700


Related Questions

Melinda signs a three year contract for employment as a legal studies lecturer. Does this type of contract fall within the scope of the statute of frauds

Answers

Answer: Yes, because it is a contract whose terms prevent possible performance within one year

Explanation:

The Statute of Fraud mandates that certain contracts need to be written down. These contracts include the sale of land, amounts involving more than $500 and contracts that have a timeframe of over a year.

Melinda entered into a contract with terms that have to be fulfilled in more than a year. It is therefore under the Statute of Frauds.

A-One Auto Sales, Inc., employs Best Collection Company as a collection agent. While repossessing goods from Carl, one of A-One's customers, Best causes an accident in which Carl is injured. Carl can recover from

Answers

Answer: c.  A-One or Best.

Explanation:

Best Collection Company are the ones who cause the accident and so they can be held liable and have to compensate Carl for injuries and harm caused.

Best however, was acting as an agent on behalf of A-One Auto Sales so A-One can be held liable as well for the incident. Carl can therefore also be compensated by A-One as well.

Carl cannot be compensated by both for the same incident as this amounts to double compensation but can be compensated by either one of them.

I Need help ASAP pls

Answers

Answer:

THis is hard

Explanation:

good luck

During the year, Eastern Gas Pipeline Co. issued 5,000 shares of preferred stock for $25 per share. This transaction is classified as .

Answers

Answer: B. Financing cash flow

Explanation:

Financing cashflow activities are those that have to do with the capital raised for the operations of the business. Every cash transaction related to capital falls under Financing activities.

This includes transactions such as issuing shares such as the preferred shares in the question and debt instruments such as bonds. Dividends and treasury purchases also fall under here.

The constraint at Rauchwerger Corporation is time on a particular machine. The company makes three products that use this machine. Date concerning those products appear below.

WX KD FS
Selling price per unit $335.20 $228.48 $199.23
Variable cost per unit $259.22 $173.04 $159.57
Minutes on the constraint 7.70 4.50 5.70

Assume that sufficient time is available on the constrained machine to satisfy demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of the constrained resource? Round intermediate calculations to 2 decimal places.

a. $75.98 per minute
b. $6.96 per minute
c. $39.66 per minute
d. $12.32 per minute

Answers

Answer:

the least profitable is $39.66 per unit or 9.72 per minute

Explanation:

The computation is shown below:

The Price Per Unit for WX is

= $355.20 - $259.22

= $95.98

Price Per Unit for KD is

= $228.48 - $173.04

= $55.44

And, the Price Per Unit for FS is

= $199.23 - $159.57

= $39.66

Now

Price per Minute for WX is

= $95.98 ÷ 7.70

= 12.46

Price Per Minute for KD is

= $55.44 ÷ 4.50

= 12.32

And, Price Per Minute for FS is

= $55.44 ÷ 5.70

= 9.72

So here the least profitable is $39.66 per unit or 9.72 per minute

This is the answer but the same is not provided

Claire Corporation is planning to issue bonds with a face value of $240,000 and a coupon rate of 8 percent. The bonds mature in two years and pay interest quarterly every March 31, June 30, September 30, and December 31. All of the bonds were sold on January 1 of this year. Claire uses the effective-interest amortization method and also uses a discount account. Assume an annual market rate of interest of 12 percent.

Required:
a. Provide the journal entry to record the issuance of the bonds.
b. Provide the journal entry to record the interest payment on March 31, June 30, September 30, and December 31 of this year.
c. What bonds payable amount will Claire report on this year’s December 31 balance sheet?

Answers

Answer:

a) issue price

PV of face value = $240,000 / (1 + 3%)⁸ = $189,458

PV of coupon payments = $4,800 x 7.0197 (PV annuity factor, 3%, 8 periods) = $33,695

market price = $223,153

January 1, bonds issued at a discount

Dr Cash 223,153

Dr Discount on bonds payable 16,847

    Cr Bonds payable 240,000

b) discount amortization = ($223,153 x 3%) - $4,800 = $1,895

discount amortization = ($225,048 x 3%) - $4,800 = $1,951

discount amortization = ($226,999 x 3%) - $4,800 = $2,010

discount amortization = ($229,009 x 3%) - $4,800 = $2,070

March 31, first coupon payment

Dr Interest expense 6,695

    Cr Cash 4,800

    Cr Discount on bonds payable 1,895

June 30, second coupon payment

Dr Interest expense 6,751

    Cr Cash 4,800

    Cr Discount on bonds payable 1,951

September 30, third coupon payment

Dr Interest expense 6,810

    Cr Cash 4,800

    Cr Discount on bonds payable 2,010

December 31, fourth coupon payment

Dr Interest expense 6,870

    Cr Cash 4,800

    Cr Discount on bonds payable 2,070

c) bonds' carrying value at December 31 = $231,169

X Corporation and its two divisions, Domestic and Foreign, appear below:

Sales revenues, Domestic $640,000
Variable expenses, Domestic $371,300
Traceable fixed expenses, Domestic $76,500
Sales revenues, Foreign $493,900
Variable expenses, Foreign $281,800
Traceable fixed expenses, Foreign $63,900

In addition, X's common fixed expenses totaled $173,300 and were allocated as follows: $90,000 to the Domestic division and $83,300 to the Foreign division.

What is the segment margin for the Domestic division?

a. $178,700
b. $371,300
c. $102,200
d. $192,200

Answers

Answer: $192,200

Explanation:

Based on the information that have been provided in the question, the segment margin for the domestic division will be calculated as:

Segment Margin = Segment Sales Revenue - Segment Variable Expenses - The Traceable Fixed Cost

= $640,000 - $371,300 - $76,500

= $192,200

X Corporation and its two divisions, Domestic and Foreign, appear below:

Sales revenues, Domestic $640,000
Variable expenses, Domestic $371,300
Traceable fixed expenses, Domestic $76,500
Sales revenues, Foreign $493,900
Variable expenses, Foreign $281,800
Traceable fixed expenses, Foreign $63,900

In addition, X's common fixed expenses totaled $173,300 and were allocated as follows: $90,000 to the Domestic division and $83,300 to the Foreign division.

What is the segment margin for the Domestic division?

a. $178,700
b. $371,300
c. $102,200
d. $192,200

Answers

Answer:

d. $192,200

Explanation:

Preparation for What is the segment margin for the Domestic division

DOMESTIC division FOREIGN division

Sales revenues $640,000 $493,900

Less Variable expenses ($371,300) ($281,800)

Contribution margin $268,700 $212,100

($640,000-$371,300) ($493,900-$281,800)

Less Traceable fixed expenses ($76,500) ($63,900)

SEGMENT MARGIN $192,200 $148,200

(268,700-$76,500) (212,100-$63,900)

Therefore the segment margin for the Domestic division will be $192,200

Which of the following is NOT a step involved in creating a budget?
Gather financial records
O Track spending
O Expand earning avenues
Balance the budget

Answers

Answer:

expand earning avenues

Explanation:

Expand Earning Avenues is not a step involved in creating a budget. Hence, option C is appropriate.

What does it mean to Create a Budget?

Creating a Budget is one of the most important things, which signifies that during a particular fiscal year or for a short time, a company, an institute, or something of much more importance does follow a certain type of Budget related behavior.

Creating a Budget is being done for a lot of things including the most important thing is to keep proper track of the proceedings which are being gone on.

Budget creation is done annually in the parliament to produce a lot of things on which the Government will run the country. The other most important factor is the process of combining the percentage of the money which is going to be spent.

Hence, option C is correct.

Learn more about Creating Budgets here:

https://brainly.com/question/18484668

#SPJ2

A real estate agent would like to predict the selling price of a single-family house by predicting the price (in thousands of dollars) based on the square footage (in 100 square feet). Predict the price of a 3000 square foot house (in thousands of dollars).

Answers

Answer: 134.7088 (thousands of dollars)

Explanation:

This can be solved with a regression equation based on the details in the question.

y being the price of the house.

x as the independent variable is given as 3.8785

c as the intercept is given as 18.3538

The equation s;

y = 3.8785x + 18.3538

x will be 30 because the variables are based on 100 square feet so, 3,000/100 = 30

y = 3.8785 *(30) + 18.3538

= $134.7088 (thousands of dollars)

= $134,708.80

Shelby Cabinets, Inc. produces custom cabinets. The following inventory balances appeared on its balance sheet.


12/31/2012

12/31/2011

Raw materials inventory

$ 8,000

$ 10,000

Work-in-process inventory

600,000

550,000

Finished goods inventory

350,000

410,000



Shelby Cabinets had $1,265,000 in sales for the year ended December 31, 2012. The company also had the following costs for the year:



Selling

$ 90,000

General and administrative

$240,000

Raw materials purchases

$100,000

Direct labor used in production

$125,000

Manufacturing overhead

$630,000



Of the total raw materials placed in production for the year, $12,000 was for indirect materials and must be deducted to find direct materials placed in production.



Using the above information, what was Shelby’s Cost of Goods Manufactured?

(Hint: You must first calculate Direct materials placed in production before calculating the Cost of Goods Manufactured.)

Group of answer choices

$795,000

$845,000

$855,000

$1,395,000

Answers

Answer:

$855,000 yippie!!!

Suppose that the market for painting services is perfectly competitive. Painting companies are identical; their long-run cost functions are given by: Market demand is: The long-run equilibrium price in this industry is $____. 173.5 162.5 194.5 155.5

Answers

Answer:

b. 162.5

Explanation:

Missing question "long-run cost functions are given by TC(Q)= 6Q^3-30Q^2+200Q"

TC(Q)= 6Q^3-30Q^2+200Q"

Marginal cost = 18Q^2 - 60Q + 200

Average Total Cost = 6Q^2 - 30Q + 200

ЭATC / ЭQ = 0

12Q - 30 = 0

Q = 2.5

ATC = 6Q^2 - 30Q + 200

ATC = 6*(2.5)^2 - 30(2.5) + 200

ATC = 37.5 - 75 + 200

ATC = 162.5

Thus, P = 162.5

Although the cost-plus method approach to product pricing may be used by management as a general guidance, when are some examples of other factors that managers should also consider in setting product prices?

Answers

Answer: value-based pricing.

Explanation:

In its literal sense, value-based pricing means basing pricing on the advantages of the product perceived by the consumer rather than on the exact cost of product creation. A painting, for example, may be priced as much more than canvas and paint prices: in fact, the price depends a lot on who the painter is.

Kevin McCormick is buying a sports utility vehicle at a car dealership. The base price is $25,565; the factory installed options totaled $2,764; and the destination charge is $495. What is the sticker price?

Answers

Answer:

$28, 824

Explanation:

The sticker price is also known as the MSRP, or the manufacturer recommended retail price. It includes any dealer-installed accessories, any fees, and add-on products plus dealer markup.

The sticker price is this scenario will include

The base value  $25,565, plus factory installed options  $2,764, plus the destination charge $495.

=  $25,565 + $2,764 + $495.

= $28, 824

Why is it important to demonstrate a positive work attitude in the workplace?
to be seen as trustworthy and reliable
to be seen as coachable and flexible
to be seen as willing to delegate tasks
to be seen as easily persuadable

Answers

Answer:

To be seen as trustworthy and reliable

Explanation:

Cause in a working environment, you want to be known as a trustworthy, and reliable worker. Which allows you to have much more career possibilitties.

Answer:

A. to be seen as trustworthy and reliable

Explanation:

i just took the test

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