User Account

All Pages

What would be the amount of any gain or loss

Assignment Help Financial Accounting
Reference no: EM132935023

Question - On January 1, 2020, Lucy's Auto Repair purchased diagnostic equipment for $18,000. The equipment had an estimated salvage value of $3,000 and a five-year life. Assume that the company depreciates the asset on a straight-line basis.

a. What is the amount of annual depreciation expense for the equipment?

b. What is the remaining book value of the equipment at December 31, 2021?

c. If the equipment was sold on December 31, 2022 for $11,000, would there be a gain on the sale or a loss on the sale?

d. What would be the amount of any gain or loss?

Reference no: EM132935023

Questions Cloud

Explain the term opportunity costs : Explain the term opportunity costs. Select two decisions, one from personal life and one a common decision that manufacturers face
List your company and its ticker symbol : For this checkpoint, you will submit an entry to this Journal including the following: List your company and its ticker symbol
Determine the amount to be charged as amortization : Zenith spent another $500 000 on infrastructure construction at the mine site. Determine the amount to be charged as amortization
How much is the annual cost of inventory : As a result of holding inventories, insurance, storage, taxes and other cost are incurred amounted to P2 per unit per year. How much is the annual cost
What would be the amount of any gain or loss : Question - On January 1, 2020, Lucy's Auto Repair purchased diagnostic equipment for $18,000. What would be the amount of any gain or loss
What would the entries for the declaration : On March 1, 2021, the board of directors declared a $1.20 per share dividend, payable March 31, 2021, What would the entries for the declaration
Find the market value of the bond : A $1,000 3% convertible and callable corporate bond with exactly 10 years to maturity. Find the market value of the bond
What is the profitability index : A project has an initial outlay of $14,369. The project will generate cash flows of $4,468 in Years 1-4. What is the profitability index (PI) of this project
Calculate the internal rate of return for the new landfill : Calculate the internal rate of return for the new landfill. Should the city council approve the project on financial grounds

Reviews

Write a Review

Financial Accounting Questions & Answers

  Calculate the accounts receivable turnover

Did Tootsie Roll have any potentially significant credit risks in 2011? (Hint: Review Note 1 under Revenue recognition and Note 9 to the financial statements.)

  Which is incorporated in the state of alpha

You are the 100% owner of X Corporation, which is incorporated in the state of Alpha and has its principal place of business there. Your company has 5 employees, including you, and does computer consulting services for small businesses. You do all of..

  Calculate the proceeds of the bond reflecting the fact

Calculate the proceeds of the bond reflecting the fact that it was issued on 1 February 2019. Also calculate the accrued interest.

  What is the balance of the fund after ten years

The plan is expected to give 10% return on investment. What is the balance of the fund after 10 years if the annual contribution is 100,000 per year?

  Book value of equity is equal to market value of equity

GTB, Inc., has a 20 percent tax rate and has $71,330,000 in assets, currently financed entirely with equity. Equity is worth $5 per share, and book value of equity is equal to market value of equity.

  Prepare the company financial statements for the month

Rent expense of $340 was erroneously posted as a credit rather than a debit. Prepare the company's financial statements for the month of February 2020

  Purpose adjusting entries

Prepare adjusting entries using the following information in the General Journal and Post the adjusting entries to the General Ledger T-accounts and compute adjusted balances.

  What is amount realized by roberts on the exchange

Roberts Company exchanged a truck used in its business for a new truck. The new truck was worth $58,000. Roberts company paid $5,000 in cash for the new truck and signed a note for $36,000 that is secured by the new truck. The dealer agreed to pay $1..

  What would wacc be if omega used no debt at all

Omega Corporation has 11.1 million shares outstanding, now trading at $54 per share. The firm has estimated the expected rate of return to shareholders.

  What amount the land should be carried

Julia Corp. received $36,000 from the sale of scrap when an existing building on the site was razed. The land should be carried at what amount?

  Estimated bad debt expense

Accounts Receivable of the Chalet Housing Co. on December 31, 2013, had a balance of $550,000. Allowance for Bad Debts had a $4,500 debit balance. Sales in 2013 were $3,450,000 less sales discounts of $51,000. Give the adjusting entry for estimated B..

  Disagree with the financial reporting practice employed

For each of the following situations, state whether you agree or disagree with the financial reporting practice employed,  Cantor Corporation's accountant increased the book value of a patent from its original cost of $1 million to its recently appra..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd