1bF_ch10-17_master_w9e_fa08B

1bF_ch10-17_master_w9e_fa08B - Ch 10 Problem #42rv2 Dep +...

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Ch 10 Problem #42rv2 Dep + Disp file:////home/vdimitrov/9437/4b6a8836f64d96662e7a5858d4d6956ff6ac1f1e.xls Ch 10 Problem #42r v2: Deprec, Sales, Exchanges Support for transactions: Journal Entries Cost 270,000 (a) Depreciation Expense-Office Equipment 18,750 RV 20,000 Accumulated Depreciation-Office 18,750 DB 250,000 Equipment DR 10.0% 10 DPP 25,000 (b) Cash 40,000 193,750 As of end of prior year: 7 periods Loss on Disposal of Fixed Assets 36,250 Dep/Period 25,000 Accum Dep 175,000 as of end of priod period Equipment 270,000 already booked a) (c) Cash 100,000 Deprec from end of prior period to date of sale 193,750 0.75 periods Gain on Disposal of Fixed Assets 23,750 Dep/Period 25,000 Office Equipment 270,000 Accum Dep 18,750 as of end of priod period Total Accum Deprec as of date of sale 193,750 (d) Office Equipment 295,000 193,750 Book Value at date of sale Office Equipment 270,000 Cost 270,000 Note Payable 168,750 A/D 193,750 Cash 50,000 BV 76,250 b) c) (e) Depreciation Expense (partial yr 1) 18,438 Gain / Loss on Sale [Price vs. BV] Gain / Loss on Sale [Price vs. BV] 18,438 Price 40,000 Price 100,000 BV 76,250 BV 76,250 Depreciation Expense (yr 2) 69,141 Gain/(Loss) (36,250) Gain/(Loss 23,750 69,141 d) Gain / Loss on Sale [TIA vs. BV] BOOT [Price - TIA] TIA 81,250 Price 300,000 BV 76,250 TIA 75,000 Gain/(Loss) 5,000 BOOT 225,000 Cash 50,000 Gain are not recognized in exchanges, Note Pay 175,000 adjust the price of new asset by the amount of the gain: Price 300,000 Gain 5,000 Adj Price 295,000 e) Formula - SL Method Period 1 Period 2 Cost 295,000 295,000 -Beg A/D - 18,438 =Beg Book Value (BV) 295,000 276,563 x Depreciable Rate* (DR) 25.0% 25.0% 8 life in periods = Depreciation per Period (DPP) 73,750 69,141 Placed in service 3/4 after beg of period 25% Partial Year Depreciation 18,438 * Doulbe 1 / Life; Life = number of periods Accumulated Depreciation-Office Equipment Accumulated Depreciation-Office Equipment Accumulated Depreciation-Office Equipment Accumulated Depreciation-Office Equipment Accumulated Depreciation-Office Equipment
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Ch 12 Problem #45rv2 TS and Div file:////home/vdimitrov/9437/4b6a8836f64d96662e7a5858d4d6956ff6ac1f1e.xls Ch 12 Problem #45r v2: Treasury Stock; Cash and Stock Div Support for transactions above: Journal Entries Feb 1 No Journal Entry Required Feb 11 20,000 shares bought 20 price per share Common Shares Outstanding
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This note was uploaded on 06/22/2009 for the course ACCOUNTING 1b taught by Professor Seyedin during the Winter '08 term at Foothill College.

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1bF_ch10-17_master_w9e_fa08B - Ch 10 Problem #42rv2 Dep +...

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