Question: 1- Equipment was acquired at the beginning of the year at a cost of $79,200. The equipment was depreciated using the straight-line method based upon an estimated useful life of six years and an estimated residual value of $7,500.
A- What was the depreciation expense for the first year?
B- Assuming the equipment was sold at the end of the second year for $59,700, determine the gain or loss on sale of the equipment. Gain or loss.
C- Journalize the entry to record the sale. If an amount box does not require an entry, leave it blank.
2- Computer equipment was acquired at the beginning of the year at a cost of $71,200. It had an estimated residual value of $3,800 and an estimated useful life of 5 years.
A- Determine the depreciable cost.
B- Determine the straight-line rate.
C- Determine the annual straight-line depreciation.
3- Copy equipment was acquired at the beginning of the year at a cost of $47,920. It had an estimated residual value of $4,400 and an estimated useful life of five years. It is estimated that the machine has an estimated 1,088,000 copies. This year 215,000 copies were made.
A- Determine the depreciable cost.
B- Determine the depreciation rate. per copy
C- Determine the the units-of-production depreciation for the year.