Question

The following are some transactions of Sandhill Company for 2024. Sandhill Company uses straight-line depreciation and has a December 31 year end. Apr. 1 Retired a piece of equipment that was purchased on January 1, 2015, for $46,000. The equipment had an expected useful life of 10 years with no residual value. July 30 Sold equipment for $1,300 cash. The equipment was purchased on January 3, 2022, for $13,680 and was depreciated over an expected useful life of three years with no residual value. Nov. 1 Traded in an old vehicle for a new vehicle, receiving a $10,000 trade-in allowance and paying $36,000 cash. The old vehicle had been purchased on November 1, 2018, at a cost of $30,300. The estimated useful life was eight years and the estimated residual value was $6,300. The fair value of the old vehicle was $8,400 on November 1, 2024. (a) Your answer is correct. For each of these disposals, prepare a journal entry to record depreciation from January 1, 2024, to the date of disposal, if required. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry. Record journal entries in the order presented in the problem) Date Account Titles Depreciation Expense Debit Credit 1150 Accumulated Depreciation-Equipment July 30 Depreciation Expense 2660 Accumulated Depreciation-Equipment Nov. 1 Depreciation Expense 2500 Accumulated Depreciation-Vehicles eTextbook and Media List of Accounts Question Part Score (b) Your answer is partially correct. Attempts: 2 of 2 used 6/6 Record the disposals. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries. Record journal entries in the order presented in the problem.) Account Titles Accumulated Depreciation - Equipment Loss on Disposal Equipment Cash Debit Credit 41400 4600 1300 Accumulated Depreciation-Equipment 9120 Equipment Vehicles 46000 Accumulated Depreciation 18000 Loss on exchange 2300 Old vehicle Cash 30300

The following are some transactions of Sandhill Company for 2024. Sandhill Company uses straight-line depreciation and has a
December 31 year end.
Apr. 1
Retired a piece of equipment that was purchased on January 1, 2015, for $46,000. The equipment had an expected
useful life of 10 years with no residual value.
July 30
Sold equipment for $1,300 cash. The equipment was purchased on January 3, 2022, for $13,680 and was depreciated
over an expected useful life of three years with no residual value.
Nov. 1
Traded in an old vehicle for a new vehicle, receiving a $10,000 trade-in allowance and paying $36,000 cash. The old
vehicle had been purchased on November 1, 2018, at a cost of $30,300. The estimated useful life was eight years and
the estimated residual value was $6,300. The fair value of the old vehicle was $8,400 on November 1, 2024.
(a)
Your answer is correct.
For each of these disposals, prepare a journal entry to record depreciation from January 1, 2024, to the date of disposal, if
required. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required,
select "No Entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry. Record journal entries in the order
presented in the problem)
Date
Account Titles
Depreciation Expense
Debit
Credit
1150
Accumulated Depreciation-Equipment
July 30
Depreciation Expense
2660
Accumulated Depreciation-Equipment
Nov. 1
Depreciation Expense
2500
Accumulated Depreciation-Vehicles
eTextbook and Media
List of Accounts
Question Part Score
(b)
Your answer is partially correct.
Attempts: 2 of 2 used
6/6
Record the disposals. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is
required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries. Record journal
entries in the order presented in the problem.)
Account Titles
Accumulated Depreciation - Equipment
Loss on Disposal
Equipment
Cash
Debit
Credit
41400
4600
1300
Accumulated Depreciation-Equipment
9120
Equipment
Vehicles
46000
Accumulated Depreciation
18000
Loss on exchange
2300
Old vehicle
Cash
30300

Added by Alan B.

Question

Please give Ace some feedback