A large chiller was purchased for $10,000 and has accumulated depreciation of $8,000. The chiller was sold for $5,000. What is the correct entry to remove the asset from the books?
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A large chiller was purchased for $10,000 and has
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- The Chambers Corporation company purchased a machine for $50,000 having useful life 5 years with a salvage value 5,000. The machine sold for $10,000 at the end of year 4. Create a journal entry using the straight line depreciation and units of activity method, and also create a journal entry to record the sale of that item assuming that the straight line method was used to record depreciation of that itemThe engine of a truck burned out and needed to be replaced two years after it was originally purchased. The original cost of the engine was $7,000 with a useful life of five years and salvage value of $1,000. The journal entry to record the disposal of the engine includes A credit to Cash for $7,000 A credit to Equipment (Truck) for $4,600 A credit to Equipment (Truck) for $7,000 A debit to Accumulated Depreciation for $1,000A truck costing $114000 was destroyed when its engine caught fire. At the date of the fire, the accumulated depreciation on the truck was $55000. An insurance check for $129000 was received based on the replacement cost of the truck. The entry to record the insurance proceeds and the disposition of the truck will include a credit to the Accumulated Depreciation account for $55000. credit to the Truck account of $59000. Gain on Disposal of $15000. Gain on Disposal of $70000.
- Darth Vader lightsaber is a depreciable asset. He uses the straight-line depreciation method. He purchased the lightsaber on August 1, 20x1 for $85,500. It has a salvage value of $10,800 and has a useful life of 9 years. The book value on Darth Vader's lightsaber is $68,900 on July 1, 20x3. On that date, Darth Vader determines that the asset's salvage value should be $5,800 instead of the original estimate of $10,800. What is the depreciation expense Darth Vader should recognize during the last six months of 20x3? Multiple Choice $4,507.14 $2,460.71 $1,867.86 $2,186.61Abbott Landscaping purchased a tractor at a cost of $25,000 and sold it three years later for $13,400. Abbott recorded depreciation using the straight-line method, a five-year service life, and a $3,500 residual value. Tractors are included in the Equipment account. 2. Assume the tractor was sold for $8,800 instead of $13,400. Record the sale. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 Record the sale of equipment. Note: Enter debits before credits. Transaction General Journal Debit Credit 1 Cash Accumulated Depreciation Loss EquipmentThe Black Limo Company (BLC) purchased a limo on January 1 of Year 1. The limo cost $48,000. It had an expected useful life of 4 years and an $8,000 salvage value. Assume BLC uses straight-line depreciation. At the beginning of Year 3, the limo is sold for $30,000 cash. As a result of the asset disposal BLC will recognize a ______ activities.
- Prepare the journal entry to record TWO of the following scenarios. Please be sure to identify which scenarios you have selected. (a) Discarding of Machine #1: Original cost, $25,000; accumulated depreciation, $20,000. (b) Sale of Machine #2: Original cost, $50,000; accumulated depreciation, $35,000; sold for $18,000 cash. (c) Sale of Machine #3: Original cost, $75,000; accumulated depreciation, $65,000; sold for $4,000 cash.Sokolsky Excavating purchased a used dump truck for $90,000 on January 1, 2018. Thecompany has depreciated the dump truck using the straight-line method over its estimated10-year life with a $6,000 residual value. Sokolsky sold the dump truck on January 1,2021, for $68,700. Total accumulated depreciation on the dump truck on the date of salewas $25,200. What gain or loss should be recorded on the sale?a. A gain of $3,900b. A loss of $3,900c. A loss of $21,300d. A gain of $21,300On February 1, 2006, Mason Company purchased a building for $359,000. The building was assigned a useful life of forty years and a salvage value of $11,000. XYZ Company uses the straight-line depreciation method to calculate depreciation on its long-term assets. The building was sold for $121,000 cash on August 1, 2029. Calculate the amount of the loss recorded on the sale. Do not enter your answer with a minus sign in front of your number.
- Ten o clock inc purchased a van on January 1, 2018 for $800,000. estimated life of the van was five years and its estimated residual value was $90,000. Ten o clock used the straight-line method of depreciation prepare the depreciation schedulees Freeman Landscaping purchased a tractor at a cost of $34,000 and sold it three years later for $16,700. Freeman recorded depreciation using the straight-line method, a five-year service life, and a $1,500 residual value. Tractors are included in the Equipment account. 2. Assume the tractor was sold for $10,300 instead of $16,700. Record the sale. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 Record the sale of tractor. Note: Enter debits before credits. Transaction 1 Record entry General Journal Clear entry 2 Prey Debit Credit View general journal Sc of 7 HH www NextSheridan Company purchased a depreciable asset for $1140000. The estimated salvage value is $59000, and the estimated useful life is 10000 hours. Sheridan used the asset for 1200 hours in the current year. The activity method will be used for depreciation. What is the depreciation expense on this asset?