McGraw Hill Connect, Chapter 10 Accounting assignment includes: CHAPTER 10 HOMEWORK and CHAPTER 10 QUIZ completed online through McGraw Hill Connect site with my credentials DUE NO LATER THAN Sunday, 04-28-2013 AS WELL AS: Upload DOCUMENTS of Chapter 10 TEST submitted to me through homework market DUE NO LATER THAN Sunday 04-28-2013 —- SEE BELOW: PROBLEM #1 – 4 points Classify each of the following as A – ordinary maintenance and repairs, B – asset improvements, or C – extraordinary repairs. 1. Resurfacing a pool in an apartment building. ___________________ 2. Installing a new air conditioner in an old building. ___________________ 3. Exterior and interior painting. ___________________ 4. Fixing damage due to a car accident. ___________________ PROBLEM #2 – 14 points Equipment acquired at a cost of $126,000 and has a book value of $42,000. Journalize the disposal of equipment under the following independent assumptions. Identify each assumption by letter. (a) The equipment had no market value and was discarded. (b) The equipment is sold for $53,000. (c) The equipment is sold for $27,000. (d) The equipment is traded-in for a similar asset. The list price of the new equipment is $63,000. The exchange has no commercial substance. Journal Date Description Debit Credit PROBLEM #3 – 22 points An asset was purchased January 1, 20XX and the fiscal year ends December 31st. Calculate depreciation expense, accumulated depreciation, and net book value under the straight-line and the double declining balance methods. Round your answers to the nearest whole dollar. Asset Cost = $200,000 Salvage Value = $25,000 Estimated Life = 8 Years Straight-line method: Year Depreciation Expense Accumulated Depreciation Net Book Value 20XX 20X1 20X2 20X3 20X4 20X5 20X6 20X7 Double Declining Balance method: Year Depreciation Expense Accumulated Depreciation Net Book Value 20XX 20X1 20X2 20X3 20X4 20X5 20X6 20X7
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