Bridge City Consulting bought a building and the land on which It is located for $125,000 cash. The land is estimated to represent 60 percent of the purchase price. The company paid $10,000 for building renovations before it was ready for use. E9-2 (Algo) Part 2 Required: 2. Prepare the journal entry to record all expenditures. Assume that all transactions were for cash and they occurred at the start of the year. (If no entry is required for a transaction/event, select "No Journal Entry Required" In the first account fleld.)
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- red int E9-2 (Algo) Computing and Recording a Basket Purchase and Straight-Line Depreciation (LO 9-2, LO 9-3] [The following information applies to the questions displayed below.) Bridge City Consulting bought a building and the land on which it is located for $165,000 cash. The land is estimated to represent 50 percent of the purchase price. The company paid $30,000 for building renovations before it was ready for use. E9-2 (Algo) Part 3 and 4 3. Compute straight-line depreciation on the building at the end of one year, assuming an estimated 10-year useful life and a $19,500 estimated residual value. (Do not round intermediate calculations.) 4. What should be the book value of (a) the land and (b) the building at the end of year 2? 3 Straight-Line Depreciation 4(a). Land 4(b). BuildingE8-4 Computing and Recording Cost and Depreciation of Assets in a Basket Purchase (Straight-Line Depreciation) LO8-2, 8-3 Zeidler Company bought a building and the land on which the building is located for a total cash price of $182,000. The company paid transfer costs of $2,800. Renovation costs on the building were $34,960. An independent appraiser provided market values for the land, $190,000, and building, $760,000 before renovation. Required: 1. Apportion the cost of the property on the basis of the appraised values. (Input all amounts as positive values.) Item Building Land No Apportioned Renovation cost cost Answer is complete and correct. $ $ 147,840✔ S 34,960 S 36,960✔ 184,800 Transaction Purchase cost S 2. Prepare the journal entry to record the purchase of the building and land, including all expenditures. Assume that all transactions were for cash and that all purchases occurred at the start of the year. (If no entry is required for a transaction/event, select "No journal…Required information E8-3 (Algo) Computing and Recording Cost and Depreciation of Assets (Straight-Line Depreciation) LO8- 2,8-3 [The following information applies to the questions displayed below.] Shahia Company bought a building for $79,000 cash and the land on which it was located for $109,000 cash. The company paid transfer costs of $17,000 ($7,000 for the building and $10,000 for the land). Renovation costs on the building before it could be used were $18,000. E8-3 Part 3 3. Determine the net book value of the property (land and building) at the end of year 2. Note: Amounts to be deducted should be indicated by a minus sign. Land Net book value of property at end of Year 2 Building Accumulated depreciation Net book value $ 0
- Required information E8-3 (Algo) Computing and Recording Cost and Depreciation of Assets (Straight- Line Depreciation) LO8-2, 8-3 [The following information applies to the questions displayed below.] Shahia Company bought a building for $87,000 cash and the land on which it was located for $123,000 cash. The company paid transfer costs of $15,000 ($6,000 for the building and $9,000 for the land). Renovation costs on the building before it could be used were $32,000. E8-3 Part 2 2. Compute straight-line depreciation at the end of one year, assuming an estimated 10-year useful life and a $18,000 estimated residual value. Straight-line depreciationRequired information PB9-1 (Algo) Computing Acquisition Cost and Recording Depreciation under Three Alternative Methods [LO 9-2, LO 9-3] [The following information applies to the questions displayed below.] At the beginning of the year, Goldenrod Corporation bought a shed, a machine, and a trailer. The shed Initially cost $20,800 but had to be renovated at a cost of $640. The shed was expected to last 7 years, with a residual value of $1,700, Repairs costing $460 were incurred at the end of the first year of use. The machine cost $11,500, and is estimated to have a total life of 40,000 hours and residual value of $900. The machine was actually used 2,000 hours in year 1 and 4,000 hours in year 2.. The trailer cost $11,800 and was expected to last 4 years, with a residual value of $2,000. PB9-1 (Algo) Part 1 Required: 1. Compute the amount to be capitalized for the shed. Total cost! Required information [The following information applies to the questions displayed below.] Shahia Company bought a building for $82,000 cash and the land on which it was located for $116,000 cash. The company paid transfer costs of $10,000 ($5,000 for the building and $5,000 for the land). Renovation costs on the building before it could be used were $18,000. 2. Compute straight-line depreciation at the end of one year, assuming an estimated 10-year useful life and a $12,000 estimated residual value. Straight-line depreciation $ 9,000
- Required information Computing and Recording Cost and Depreciation of Assets (Straight- Line Depreciation) Shahia Company bought a building for $ 85,000 cash and the land on which it was located for $119, 000 cash. The company paid transfer costs of $17,000 ($7,000 for the building and $10, 000 for the land). Renovation costs on the building before it could be used were $ 27,000. E83 Part 1 Required: Prepare the journal entry to record the purchase of the property, including all relevant expenditures. Assume that all transactions were for cash and that all purchases occurred at the start of the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. (Part 2) Compute straight-line depreciation at the end of one year, assuming an estimated 10 year useful life and a $14,000 estimated residual value. (Part 3) Required information Computing and Recording Cost and Depreciation of Assets ( Straight-Line Depreciation) Shahia…Required information PB9-1 (Algo) Computing Acquisition Cost and Recording Depreciation under Three Alternative Methods (LO 9-2, LO 9-3) (The following information applies to the questions displayed below.) At the beginning of the year, Canary.com bought a shed, a machine, and a trailer. The shed initially cost $20,300 but had to be renovated at a cost of $540. The shed was expected to last 7 years, with a residual value of $1,450. Repairs costing $360 were incurred at the end of the first year of use. The machine cost $11,250, and is estimated to have a total life of 40,000 hours and residual value of $900. The machine was actually used 2,000 hours in year 1 and 4,000 hours in year 2. The trailer cost $11,300 and was expected to last 4 years, with a residual value of $2,000. PB9-1 (Algo) Part 1 Required: 1. Compute the amount to be capitalized for the shed. Renovation costs Total costRequired information [The following information applies to the questions displayed below.] Shahia Company bought a building for $79,000 cash and the land on which it was located for $123,000 cash. The company paid transfer costs of $13,000 ($6,000 for the building and $7,000 for the land). Renovation costs on the building before it could be used were $27,000. Required: 1. Prepare the journal entry to record the purchase of the property, including all relevant expenditures. Assume that all transactions were for cash and that all purchases occurred at the start of the year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field. View transaction list View journal entry worksheet No 1 Transaction a Land Building General Journal Debit Credit
- ! Required information [The following information applies to the questions displayed below.] Faucet Landscaping purchased a tractor at a cost of $33,000 and sold it three years later for $16,500. Faucet recorded depreciation using the straight-line method, a five-year service life, and a $2,000 residual value. Tractors are included in the Equipment account. 2. Assume the tractor was sold for $10,300 instead of $16,500. Record the sale. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list Journal entry worksheet 1 Record the sale of tractor. Check! Required information [The following information applies to the questions displayed below.] Faucet Landscaping purchased a tractor at a cost of $31,000 and sold it three years later for $16,700. Faucet recorded depreciation using the straight-line method, a five-year service life, and a $4,000 residual value. Tractors are included in the Equipment account. 2. Assume the tractor was sold for $10,900 instead of $16,700. Record the sale. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list View journal entry worksheet No Transaction 1 1 Cash General Journal Debit Credit 10.900Required information [The following information applies to the questions displayed below.] Hero Sandwich Shop had the following long-term asset balances as of January 1, 2024: Land Building Equipment Patent Cost $86,000 451,000 227,900 205,000 Accumulated Depreciation Book Value $86,000 288,640 179,700 123,000 • Hero purchased all the assets at the beginning of 2022. • The building is depreciated over a 10-year service life using the double-declining-balance method and estimating no residual Land Building Equipment Patent 0 value. • The equipment is depreciated over a 9-year service life using the straight-line method with an estimated residual value of $11,000. HERO SANDWICH SHOP December 31, 2024 $(162,360) (48,200) (82,000) • The patent is estimated to have a five-year useful life with no residual value and is amortized using the straight-line method. • Depreciation and amortization have been recorded for 2022 and 2023 (first two years). 3. Calculate the book value for each of the…