Business, 24.03.2020 20:07 caro74

Diaz Company owns a machine that cost $126,000 and has accumulated depreciation of $94,600. Prepare the entry to record the disposal of the machine on January 1 in each seperate situation.

1. The machine needed extensive repairs, and it was not worth repairing. Diaz disposed of the machine, receiving nothing in return.
Record the disposal of the machine receiving nothing in return.
2. Diaz sold the machine for $17,500 cash.
Record the sale of the machine for $17,500 cash.
3. Diaz sold the machine for $34,000 cash.
Record the sale of the machine for $34,000 cash.
4. Diaz sold the machine for $40,900 cash.
Record the sale of the machine for $40,900 cash.

Answers: 1

Show answers

Answers

Answer from: cheriebg

See the explanation.

Explanation:

Requirement 1

Accumulated depreciation Debit $94,600

Loss on sale of machine Debit $31,400

Machine Credit $126,000

Note: To record the disposal of the machine. As the company did not receive anything after selling the machine, therefore, the company sold the machine at a loss of = $126,000(Cost) - $94,600(Accumulated depreciation) = $31,400.

Requirement 2

Cash Debit $17,500

Accumulated depreciation Debit $94,600

Loss on sale of machine Debit $13,900

Machine Credit $126,000

Note: To record the disposal of the machine. The company sold the machine for 17,500 cash after selling the machine. However, the company still faced a loss of = $126,000(Cost) - $94,600(Accumulated depreciation) - $17,500(Cash) = $13,900.

Requirement 3

Cash Debit $34,000

Accumulated depreciation Debit $94,600

Gain on sale of machine Credit $2,600

Machine Credit $126,000

Note: To record the disposal of the machine. The company sold the machine for $34,000 cash after selling the machine. In this case the company make a profit after selling the machine = $94,600(Accumulated depreciation) + $34,000(Cash) - $126,000(Cost) = $2,600.

Requirement 4

Cash Debit $40,900

Accumulated depreciation Debit $94,600

Gain on sale of machine Credit $9,500

Machine Credit $126,000

Answer from: Quest

There is no graph so we cannot answer

Answer from: Quest

the definition of a small business is an independently owned and operated company that is limited in size and in revenue depending on the industry. a local bakery that employs 10 people is an example of a small business. a manufacturing facility that employees less than 500 people is an example of a small business.

Another question on Business

Business, 22.06.2019 11:00

Alocal barnes and noble bookstore ordered 80 marketing books but received 60 books. what percent of the order was missing?

Answers: 1

Answer

Business, 22.06.2019 17:30

Kevin and jenny, who are both working full-time, have three children all under the age of ten. the two youngest children, who are three and five years old, attended eastside pre-school for a total cost of $3,000. ervin, who is nine, attended big kid daycare after school at a cost of $2,000. jenny has earned income of $15,000 and kevin earns $14,000. what amount of childcare expenses should be used to determine the child and dependent care credit?

Answers: 3

Answer

Business, 22.06.2019 20:50

Stormie zanzibar owns a bakery in the fictitious country of olombia. each month the government’s market ministry mails her a large list of the regulated price of goods which include products like bread, muffins and flat bread. the list also dictates the types of goods she can sell at the bakery and what she is to charge. because of the regulations placed on these goods, stormie has increased her production of sweets, pies, cakes, croissants and buns and decreased her supply of breads, muffins and flat bread. she has taken these steps because the sweet goods’ prices are not government controlled. stormie zanzibar lives under what type of economy?

Answers: 3

Answer

Business, 22.06.2019 22:00

Exercise 2-12 cost behavior; high-low method [lo2-3, lo2-4] speedy parcel service operates a fleet of delivery trucks in a large metropolitan area. a careful study by the company’s cost analyst has determined that if a truck is driven 120,000 miles during a year, the average operating cost is 11.6 cents per mile. if a truck is driven only 80,000 miles during a year, the average operating cost increases to 13.6 cents per mile. required: 1.& 2. using the high-low method, estimate the variable and fixed cost elements of the annual cost of truck operation. (round the "variable cost per mile" to 3 decimal places.)

Answers: 3

Answer

You know the right answer?

Diaz Company owns a machine that cost $126,000 and has accumulated depreciation of $94,600. Prepare...

Questions