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Question - On January 2, 2015, Moser, Inc., purchased equipment for $100,000. The equipment was expected to have a $10,000 salvage value at the end of its estimated six-year useful life. Straight-line depreciation has been recorded. Before adjusting the accounts for 2019, Moser decided that the useful life of the equipment should be extended by three years and the salvage value decreased to $8,000.
Required -
a. Prepare a journal entry to record depreciation expense on the equipment for 2019.
b. What is the book value of the equipment at the end of 2019 (after recording the depreciation expense for 2019)?
Additional expenditures to maintain goodwill for a total of 20 years. What costs should be capitalized and over how many years should they be amortized?
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Jen, Raks, and Fred are partners with average capital balances during 2019 of P945,000, P477,300, and P324,700, respectively. The partners receive 10% interest.
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