Question Help Assume that Global Positioning Systems paid $126,000 for equipment

Question

Question Help Assume that Global Positioning Systems paid $126,000 for equipment with a 14-year life and zero expected residual value. After using the equipment for six years, the company determines that the asset will remain useful for only four more years Read the requirements. First, select the formula to calculate the company's revised depreciation expense on the equipment for year 7. Then enter the amounts and calculate the depreciation for year 7. (Enter "0 for items with a zero value.) Revised depreciation Record the depreciation on the equipment for year 7. (Record debits first, then credits. Select the explanation on the last line of the jounal entry table.) Date Accounts and Explanation Debit Credit Requirement 2. What is accumulated depreciation at the end of year 7? The accumulated depreciation at the end of year 7 is $ Choose from any list or enter any number in the input fields and then continue to the next question.

Explanation / Answer

Depreciation expense per year 9000 126000/14 Number of years 6 Accumulated depreciation for 6 years 54000 Depreciation expense = (126000-54000)/4 18000 Depreciation expense 18000             Accumulated depreciation - Equipment 18000 Accumulated depreciation end of 7 years 72000 (54000+18000)

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.