Homework: HWO9.03 Score: 0 of 8 pts E9-23 (similar to) Save 7 of 13 (0 complete)

Question

Homework: HWO9.03 Score: 0 of 8 pts E9-23 (similar to) Save 7 of 13 (0 complete) Hw Score: 0%, 0 of 50 pts Question Help On January 2, 2014, Pet Spa purchased fixtures for $37,800 cash, expecting the fixtures to remain in service for six years. Pet Spa has depreciated the fixtures on a straight-line basis, with $9,000 residual value. On July 31, 2016, Pet Spa sold the fixtures for $23,900 cash. Record both depreciation expense for 2016 and sale of the fixtures on July 31, 2016. (Assume the modified half-month convention is used. Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Begin by recording the depreciation expense for 2016. Date Accounts and Explanation Debit Credit Jul. 31 Choose from any list or enter any number in the input fields and then click Check Answer

Explanation / Answer

Depreciation=(Cost-salvage value)/Years

=(37800-9000)/6=4800

At starting of 2016 the book value=37800-(2*4800)=28200

For 7 months in jult the depreciation=4800*(7/12)=2800

Depreciation expense(db)2800

Accumulated depreciation (cr)2800

b)

Related Questions

Navigate

• Browse (All)
• Browse H
• Subjects

---

---

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