Reference no: EM133272787

Cris Guya Catering Services is about to prepare the December 31, 2014, financial statements, its fourth year of operation. For each of the following depreciable assets, make adjusting journal entries to record the year-end depreciation using the straight-line method. For purposes of computing depreciation, it is the company's policy to provide depreciation for a fraction of a year except for buildings acquisition, wherein a full-year depreciation is recognized in the year the building is purchased.

What's the journal entry to take up depreciation expense given the following:

Building: acquisition cost, P6,420,000; estimated useful life, 50 years; estimated salvage value, P70,000; acquisition date, July 1, 2012.

What's the journal entry to take up depreciation expense given the following:

Machinery: acquisition cost, P65,000; installation cost, P4,120; estimated useful life, 8 years; estimated scrap value, P3,000; acquisition date, January 2, 2012.

Equipment: acquisition cost, P85,000; estimated useful life, 5 years; estimated salvage value at end of useful life, P6,500; acquisition date, April 1, 2014.

Delivery Van: acquisition cost, P320,000; estimated useful life, 8 years; estimated salvage value at end of life, P20,000; acquisition date, April 1, 2011.

Furniture & Fixtures: acquisition cost, P18,000; estimated useful life, 5 years; no scrap or salvage value at end of its useful life; January 2, 2011