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Question - Machinery purchased for $72,600 by Sage Co. in 2013 was originally estimated to have a life of 8 years with a salvage value of $4,840 at the end of that time. Depreciation has been entered for 5 years on this basis. In 2018, it is determined that the total estimated life should be 10 years with a salvage value of $5,445 at the end of that time. Assume straight-line depreciation.
Prepare the entry to record depreciation for 2018.
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General guideline, transfer pricing. The Slate Company manufactures and sells television sets. Its assembly division (AD) buys television screens.
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On April 16, 2010, the Winger Company shipped 10 tractors to the Yuma Farm Supply Company on consignment. Each tractor cost $30,000 and the Winger Company incurred cash shipment costs of $100 per tractor.
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