Reference no: EM13972684
On March 31, 2013, the Herzog Company purchased a factory complete with machinery and equipment. The allocation of the total purchase price of $1,000,000 to the various types of assets along with estimated useful lives and residual values are as follows:
.png)
On June 29, 2014, machinery included in the March 31, 2013, purchase that cost $100,000 was sold for $80,000.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.
2. Prepare the journal entries to record
(1) Depreciation on the machinery sold on June 29, 2014,
(2) The sale of machinery.
|
Tax consequences of the reduction
: Helena has assets of $130,000 and liabilities of $160,000. One of her debts is for $120,000. Discuss the tax consequences of the reduction of this debt in each of the following circumstances:
|
|
The anxiety is caused by a new excavator
: The new equipment has a 10-year life and expected salvage value of $105,000. What should the officer do? The tax rate is 35%, the CCA rate, 25% for both excavators and the required rate of return for the company is 13%.
|
|
What the primary difference between dram and sram
: Develop the state diagram for a MOD-4 counter with an even number count sequence: 000, 010, 100, 110, 000, etc. All undefined states must return to 000.
|
|
Write one instruction to reverse the lsb
: write ONE instruction to reverse the LSB of the 2nd and 3rd elements of arr - Write code to determine if a data value is a power of 2,
|
|
Compute depreciation expense on the building machinery and
: On June 29, 2014, machinery included in the March 31, 2013, purchase that cost $100,000 was sold for $80,000.Herzog uses the straight line depreciation method for buildings and machinery and the sum of the years' digits method for equipment. Partial ..
|
|
Discharge of indebtedness situation
: Determine the amount of income that must be recognized in each discharge of indebtedness situation that follows.
|
|
Determining the forgiveness of debt
: Assume the same facts as in part a, except that Vito's liabilities are $800,000 before the forgiveness of debt. Assume the same facts as in part a, except that Vito's total liabilities are $625,000 before the forgiveness of debt.
|
|
Compare the major developmental theories
: Your two-year old daughter refuses to wear the clothes you pick for her every morning making getting dressed a twenty-minute pitched battle.
|
|
What is the project''s present value
: Based on your work, should Madison Bakery proceed with this proposed oven ? Briefly cite why, or why not.
|