Prepare the general journal entries

Reference no: EM131763778

Question: Blossom Co. purchased a equipment on January 1, 2015, for $555,500. At that time, it was estimated that the equipment would have a 10-year life and no salvage value. On December 31, 2018, the firm's accountant found that the entry for depreciation expense had been omitted in 2016. In addition, management has informed the accountant that the company plans to switch to straight-line depreciation, starting with the year 2018. At present, the company uses the sum-of-the-years'-digits method for depreciating equipment.

Prepare the general journal entries that should be made at December 31, 2018, to record these events. (Ignore tax effects.) (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date	Account Titles and Explanation	Debit	Credit
Dec. 31, 2018

	(To correct for the omission of depreciation expense in 2016.)
Dec. 31, 2018

Reference no: EM131763778

Questions Cloud

Organization compensation plan : Contingent workers are assuming a greater role in today's organization. What impact may these changes have on an organization’s compensation plan?

What is the most popular size for wine : What is the total 2016 Sales Dollars of wine and spirits - What is the most popular Size for wine and for spirits based on 2016 Sales Dollars and Sales

Track the character development of nora helmer : Track the character development of Kate Winslet's protagonist, April, in the film "Revolutionary Road," (with Leonardo DiCaprio, 2008).

Objectivity who believed in the power of facts in ethics : John Mackie was an objectivity who believed in the power of facts in ethics.

Prepare the general journal entries : Blossom Co. purchased a equipment on January 1, 2015, for $555,500. At that time, it was estimated that the equipment would have a 10-year life and no salvage.

Default on your loans and the lenders forgive : You have been married nearly 30 years and love your spouse and family. A credit crunch leads you to default on your loans and the lenders forgive

What could be broadcom strategy going forward : What could be Broadcom's strategy going forward?

Review the financial statements of blue corporation : You have been engaged to review the financial statements of Blue Corporation. In the course of your examination, you conclude that the bookkeeper hired during.

What is the impact on the break-even point explain : Many firms are moving toward flexible manufacturing systems and adopting the just-in-time (JIT) philosophy. What is the impact on the break-even point? Explain

User Account

All Pages