Loading...

Messages

Proposals

Stuck in your homework and missing deadline? Get urgent help in $10/Page with 24 hours deadline

Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.

Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support

Lump sum purchase of plant assets

28/10/2021 Client: muhammad11 Deadline: 2 Day

I. Plant Asset Cost; Depreciation Methods II. Asset Cost Allocation

I. Plant Asset Cost; depreciation methods

Timberly Construction negotiates a lump-sum purchase of several assets from a company that is going out of business. The purchase is completed on January 1, 2013, at a total cash price of $900,000 for a building, land, land improvements and four vehicles. The estimated market values of the assets are building - $508,800; land - $297,600; land improvements - $28, 800 and four vehicles - $124,800. The company’s fiscal year ends on December 31.

Required:

1. Prepare a table to allocate the lump-sum purchase price to the separate assets purchased (round per cents to the nearest 1%). Prepare the journal entry to record the purchase.

2. Compute the depreciation expense for year 2013 on the building using the straight-line method, assuming a 15-year life and a $27,000 salvage value.

3. Compute the depreciation expense for year 2013 on the land improvements assuming a five-year life and double-declining-balance depreciation.

Analysis Component

4. Defend or refute this statement: Accelerated depreciation results in payment of less taxes over the asset’s life.

II. Asset Cost Allocation; straight-line-depreciation

In January 2013, Mitzu Co. pays $2,600,000 for a tract of land with two buildings on it. It plans to demolish Building 1 and build a new store in its place. Building 2 will be a company office; it is appraised at $644,000, with a useful life of 20 years and a $60,000 salvage value. A lighted parking lot near Building 1 has improvements (Land Improvements 1) valued at $420,000 that are expected to last another 12 years with no salvage value. Without the buildings and improvements, the tract of the land is valued at $1,736,000. The company also incurs the following additional cost:

Cost to demolish Building 1…………………………………………. $ 328,400

Cost of additional land grading……………………………………… 175,400

Cost to construct new building (Building 3), having a useful life

of 25 years and a $392,000 salvage value…………………… 2,202,000

Cost of new land improvements (Land Improvements 2) near

Building 2 having a 20-year useful life and no salvage value.. 164,000

Required:

1. Prepare a table with the following column headings: Land, Building 2, Building 3, Land Improvements 1 and Land Improvements 2. Allocate the cost incurred by Mitzu to the appropriate columns and total each column (round percents to the nearest 1%).

2. Prepare a single journal entry to record all the incurred costs assuming they are paid in cash on January 1, 2013.

3. Using the straight-line method, prepare the December 31 adjusting entries to record depreciation for the 12 months of 2013when these assets were in use.

Homework is Completed By:

Writer Writer Name Amount Client Comments & Rating
Instant Homework Helper

ONLINE

Instant Homework Helper

$36

She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up!

Order & Get This Solution Within 3 Hours in $25/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 3 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 6 Hours in $20/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 6 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 12 Hours in $15/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 12 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

6 writers have sent their proposals to do this homework:

Solutions Store
Coursework Helper
Top Essay Tutor
Engineering Solutions
Accounting & Finance Master
Academic Master
Writer Writer Name Offer Chat
Solutions Store

ONLINE

Solutions Store

I am an experienced researcher here with master education. After reading your posting, I feel, you need an expert research writer to complete your project.Thank You

$24 Chat With Writer
Coursework Helper

ONLINE

Coursework Helper

I reckon that I can perfectly carry this project for you! I am a research writer and have been writing academic papers, business reports, plans, literature review, reports and others for the past 1 decade.

$45 Chat With Writer
Top Essay Tutor

ONLINE

Top Essay Tutor

I have done dissertations, thesis, reports related to these topics, and I cover all the CHAPTERS accordingly and provide proper updates on the project.

$30 Chat With Writer
Engineering Solutions

ONLINE

Engineering Solutions

I have read your project details and I can provide you QUALITY WORK within your given timeline and budget.

$27 Chat With Writer
Accounting & Finance Master

ONLINE

Accounting & Finance Master

I am an academic and research writer with having an MBA degree in business and finance. I have written many business reports on several topics and am well aware of all academic referencing styles.

$18 Chat With Writer
Academic Master

ONLINE

Academic Master

Being a Ph.D. in the Business field, I have been doing academic writing for the past 7 years and have a good command over writing research papers, essay, dissertations and all kinds of academic writing and proofreading.

$50 Chat With Writer

Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.

Similar Homework Questions

Using a weighted moving average with weights of - Romeo and juliet comic strip - Deif agc 200 manual - Charles sturt university assignment cover sheet - Orality and literacy summary - Business document design and development strategy - A level physics formula sheet - Literature Research Paper - Uncle ernest short story questions and answers - SSGB - Resistance to change at work place - Marketing Strategy and consumer behavior Paper 3 - Limited edition slayer jagermeister bottle for sale - Biot savart law in terms of current density - Data sheet nesa physics - Yearly Reports - Microeconomics - 1 Discussion due in 16 hours - Www containerstore com careers index html - Sort paper 1 to 2 pages - Leadership essay - Primary secondary tertiary sectors quiz - Hip hop as culture answers - What is virginia henderson's nursing theory - Key audit objectives for a client's payroll function - 3 - Cannery row chapter 15 - Chapter 7 negotiating intersections word search puzzle answer key - Urban assembly maker academy graduation rate - 8464 b 1h mark scheme - Phil 347 critical thinking/ reasoning - Annotated Bibliography. - Summary_ - Motivate your employees - Critical analysis of everyday use by alice walker - A 25 g piece of aluminum is heated to 82.4 - Starbucks training program - Titration of oxalic acid with naoh calculations - Body of a gymnast - Field ion microscopy ppt - 138 the round drive avoca beachc - Process recording example nursing student - The ecuadorian rose industry case study answers - Bsbcmm101 apply basic communication skills - Was elvis a twin - How jack welch changed ge - Saini v all saints haque centre - Set-admpwdcomputerselfpermission object not found - Chemistry - Psyc325 unit 3 discussion board - Provides support for the cell - Uber going global from day one - Nurses communicating with legislators to influence health policy - Conventional software project management - Heart berries summary - Negligent hiring - Proofreading - Danfoss fp715si wiring diagram - Merchant of venice deception quotes - What does faber mean when he says books have pores - 38 wombat drive eltham - Diary of medical mission trip - What is the main idea of the last paragraph - Goodwill messages should be short selfless specific spontaneous and - 348 bus route sydney - Molloy building chester university - Koo wee rup motorcycle club - For bone density scores that are normally distributed - Leadership traits of martin luther king jr - Fundamentals of english grammar fourth edition workbook pdf - Indication of passive movement - Volunteer work for psychology students - Sin2x in terms of tan - Cat in animal farm - Toyota prius product life cycle analysis - Locus of control meaning - Http www kidsgeo com - Thinking for yourself mayfield 8th edition - 141 laura street tarragindi - Hpl prepaid meter manual - Louisa may alcott religion - City of surrey property tax - Marymount university website - Greater than or equal to pseudocode - Bigbook com uses lifo inventory - Use the data in gpa2 for this exercise - Austrian Players' Gateway to the Best Online Casino Experience - Abc model of crisis intervention example - How netflix reinvented hr ppt - Multiple choice questions on value education - What is a case comment in law - Coca cola brotherly love commercial - Could you please provide me with - Each kidney contains over 1 million functional units called - Gino's restaurant is a popular restaurant in boston massachusetts - Assignment #1 - Ttps openstax org details books college physics - The wizard of oz a political allegory worksheet answers - Heien v north carolina 2014 - When is cladistics more useful than linnaean taxonomy