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Question - A) Strand Corp purchases a company Vehicle on 7/1/19. Cost = $70,000. Salvage value 10%. Est useful life = 5 years. REQUIRED: for year-end 12/31st for 2019 and 2020 only:
1) Calculate Depreciation Exp using Straight-Line Depreciation for 2019 and 2020.
2) Using the Accounting Equation or Journal Entries, do the accounting on 12/31/19 and 12/31/20 3) at the end of 12/31/20 show the asset's Net Book Value ---show all your work for credit.
B) 1. Explain the difference between Tangible Assets and Intangible Assets.
2. Give at least 3 examples of a tangible asset and an intangible asset.
3. Explain how to calculate Amortization Expense and give an example of the accounting (make-up your own numbers).
Financial Statement Analysis and Preparation
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T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .
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