Reference no: EM133074244

Question - The total Asset for Abbott Laboratories were in dollars billions: $72,548 (in 2020) and $67,887 9in 2019). Using "total assets" as your "cost", assume 15% salvage value, 7yr estimated useful life, and assume the asset was purchased on May 1st 2019 (assume co's year-end is Dec 31).

Required -

1. For 2019 and 2020 only: Calculate Depreciation Exp using Straight Line, Double Declining Balance and Sum of the Year's Digits.

2. For all 3 of the depreciation methods above, show the Net Book Value at 12/31/20.

3. Using Straight Line Depreciation, assume the co sold this asset on June 30th of 2021 for 80% of the original cost:

a. Calculate any gain or loss on the sale.

b. Make the entry to record the sale of the asset.