35. Horizons, Inc. purchased a machine 3 years ago at a price of $64,500. At that time, useful life was estimated at 12 years with a $6,900 salvage value, and straight-line depreciation was used. After recording depreciation for the 3rd year, Horizons decided that for future years it would revise its original estimates from 12 to 8 years and from $6,900 to $5,500. The depreciation expense to be recorded in year 4 of the machine’s life is:
A)$4,800
B)$5,575
C)$8,640
D)$8,920
36. Advanced Systems, Inc. purchased a machine 4 years ago at a price of $82,800. At that time, useful life was estimated at 10 years with a $13,500 salvage value, and straight-line depreciation was used. After recording depreciation for the 4th year, Advanced decided that for future years it would revise its original estimates from 10 to 14 years and from $13,500 to $8,500. The depreciation expense to be recorded in year 5 of the machine’s life is:
A)$4,658
B)$4,968
C)$5,508
D)$6,930
37. Cooper Resources, Inc. owns some equipment with an original cost of $53,800 and accumulated depreciation of $26,350. If the equipment is sold for $28,500, the gain or loss recognized on the sale would be:
A)$2,150 loss
B)$1,050 loss
C)$2,150 gain
D)$1,050 gain
38. Spataro Industries owns some equipment with an original cost of $53,800 and accumulated depreciation of $26,350. If the equipment is sold for $25,500, the gain or loss recognized on the sale would be:
A)$ 850 gain
B)$ 850 loss
C)$1,950 gain
D)$1,950 loss
39. Eric Lynd Industries sold equipment with an original cost of $80,000 and accumulated depreciation of $35,000. If the sale of the equipment generated a gain of $10,000 how much cash was received from the sale?
A)$ 90,000
B)$ 45,000
C)$55,000
D)$70,000
40. Golden Eagle Golf Corp sold equipment with an original cost of $160,000 and accumulated depreciation of $95,000. If the sale of the equipment generated a loss of $15,000 how much cash was received from the sale?
A)$145,000
B)$50,000
C)$85,000
D)$70,000
41. Harold Lynd Corporation sold equipment with an original cost of $90,000 for $55,000 cash and recorded a gain of $5,000. What was the book value of the equipment on the date of the sale?
A)$50,000
B)$90,000
C)$60,000
D)$70,000
42. Galloway Corporation sold equipment with an original cost of $120,000 for $55,000 cash and recorded a loss of $15,000. What was the balance in the accumulated depreciation account on the date of the sale?
A)$60,000
B)$70,000
C)$55,000
D)$50,000
43.Cowboy Enterprises owns some equipment with an original cost of $59,000 and a book value of $19,000 that is exchanged for a $20,000 notes receivable and $5,000 cash. Which of the following is not part of the entry to record this transaction?
A)Debit Notes Receivable $20,000
B)Debit Accumulated Depreciation $40,000
C)Credit Equipment for $19,000
D)Credit Gain for $6,000
44. Irmelas Enterprises owns some equipment with an original cost of $84,700 and accumulated depreciation of $41,650. If the equipment is sold for $9,500 in cash plus a 9-month $30,000 note receivable with a stated 12% interest rate, the gain or loss recognized on the sale would be:
A)$3,550 loss
B)$3,550 gain
C)$2,150 loss
D)$2,150 gain
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more