Questions from Intermediate Accounting

Q: Futabatei Enterprises purchased a delivery truck on January 1, 2017,

Futabatei Enterprises purchased a delivery truck on January 1, 2017, at a cost of $27,000. The truck has a useful life of 7 years with an estimated salvage value of $6,000. The straight-line method is...

Q: Shimei Inc. purchased computer equipment on March 1, 2017,

Shimei Inc. purchased computer equipment on March 1, 2017, for $31,000. The computer equipment has a useful life of 10 years and a salvage value of $1,000. For tax purposes, the MACRS class life is 5...

Q: Judds Company purchased a new plant asset on April 1, 2017

Judds Company purchased a new plant asset on April 1, 2017, at a cost of $711,000. It was estimated to have a service life of 20 years and a salvage value of $60,000. Judds’ accounting period is the c...

Q: Robert Parish Corporation purchased a new machine for its assembly process on

Robert Parish Corporation purchased a new machine for its assembly process on August 1, 2017. The cost of this machine was $117,900. The company estimated that the machine would have a salvage value o...

Q: Muggsy Bogues Company purchased equipment for $212,000 on October

Muggsy Bogues Company purchased equipment for $212,000 on October 1, 2017. It is estimated that the equipment will have a useful life of 8 years and a salvage value of $12,000. Estimated production is...

Q: Jackel Industries presents you with the following information. /

Jackel Industries presents you with the following information. Instructions Complete the table for the year ended December 31, 2019. The company depreciates all assets using the half-year conventio...

Q: George Zidek Corporation bought a machine on June 1, 2015,

George Zidek Corporation bought a machine on June 1, 2015, for $31,000, f.o.b. the place of manufacture. Freight to the point where it was set up was $200, and $500 was expended to install it. The mac...

Q: Presented below is information related to LeBron James Manufacturing Corporation.

Presented below is information related to LeBron James Manufacturing Corporation. Instructions a. Compute the rate of depreciation per year to be applied to the plant assets under the composite met...

Q: Tones Industries has the following patents on its December 31, 2016

Tones Industries has the following patents on its December 31, 2016, balance sheet. The following events occurred during the year ended December 31, 2017. 1. Research and development costs of $245,...

Q: Troopers Medical Labs, Inc., began operations 5 years ago producing

Troopers Medical Labs, Inc., began operations 5 years ago producing stetrics, a new type of instrument it hoped to sell to doctors, dentists, and hospitals. The demand for stetrics far exceeded initia...