Reference no: EM13794445
Question: On March 31, 2013, the Herzog Company purchased a factory complete with machinery and equipment. The allocation of the total purchase price of $1,060,000 to the various types of assets along with estimated useful lives and residual values are as follows:
On March 31, 2013, the Herzog Company purchased a factory complete with machinery and equipment. The allocation of the total purchase price of $1,060,000 to the various types of assets along with estimated useful lives and residual values are as follows:
| Asset |
Cost |
Estimated Residual Value |
Estimated Useful |
|
| |
Life in Years |
|
| Land |
$ |
130,000 |
|
N/A |
N/A |
|
| Building |
|
560,000 |
|
none |
25 |
|
| Machinery |
|
180,000 |
|
12% of cost |
8 |
|
| Equipment |
|
190,000 |
|
15,000 |
4 |
|
|
|
|
|
|
|
|
| Total |
$ |
1,060,000 |
|
|
|
|
On June 29, 2014, machinery included in the March 31, 2013, purchase that cost $106,000 was sold for $86,000. Herzog uses the straight-line depreciation method for buildings and machinery and the sum-of-the-years''-digits method for equipment. Partial-year depreciation is calculated based on the number of months an asset is in service.
Required: 1. Compute depreciation expense on the building, machinery, and equipment for 2013. (Do not round intermediate calculations.)
2. Prepare the journal entry to record the depreciation on the machinery sold on June 29, 2014, and the sale of machinery
3. Compute depreciation expense on the building, remaining machinery, and equipment for 2014.
|
Brief description of the chosen city
: Choose a city or county in the United States, and write a 1,000 word essay that fully explains 5 significant hazards (natural or technical) associated with the city or county. Provide a brief description of the chosen city, town, or county.
|
|
Write a summary about article how technology aids language
: Write one-paragraph summary about how technology aids language.
|
|
Research the theories of victimization
: Use the Internet and your text to research the theories of victimization. The first theory is completed for you as an example of how to complete the chart.
|
|
Provide an example on how classification analysis
: Review Question 6 and select one of the ill-structured problems taken from the journal Policy Analysis (now the Journal of Policy Analysis and Management Under the title "Department of Unintended Consequences". Analyze the problem; then, provide an e..
|
|
Compute depreciation expense on the building
: Compute depreciation expense on the building, machinery, and equipment for 2013 and prepare the journal entry to record the depreciation on the machinery sold on June 29, 2014, and the sale of machinery
|
|
Problems basede on reliable internet resources
: Examine the impact you have on creating renewed resources from these recycled items.
|
|
Drafting of the constitution
: Brief history prior to the drafting of the Constitution (American Revolution, Articles of Confederation, Compromises in Philadelphia, Magna Carta, Mayflower Compact)
|
|
The primary purpose of branding is
: The primary purpose of branding is
|
|
Why is communication of the community important
: What does this study tell you about the lack of training for the community. Why is communication and education of the community important in saving lives
|