+1-415-670-9189
info@expertsmind.com
On january 2 2011 kinnard hospital purchased a 104150
Course:- Accounting Basics
Reference No.:- EM13601532




Assignment Help
Assignment Help >> Accounting Basics

On January 2, 2011, Kinnard Hospital purchased a $104,150 special radiology scanner from Faital Inc. The scanner has a useful life of 5 years and will have no disposal value at the end of its useful life. The straight-line method of depreciation is uded on this scanner. Annual operating costs with this scanner are $104,150.

Approxiamately one year later, the hospital is approached by Harmon Technology salesperson, Jane Black, who indicated that purchasing the scanner in 2011 from Fital Inc. was amistake. She points out that Harmon has scanner that will save Kinnaird Hospital $27,600 a year in operating over its 4 year useful life. She notes that the new scanner will cost $120,900 and has the same capabilities as the scanner purchased last year. The hospital agrees thar both scanners are of equal quality. The new scanner will have no disposal value. Black agrees to buy the old scanner from Kinnaird Hospital for $27,770.

If Kinnaird Hospital sells its old scanner on January 2,2012, compute the gain or loss on the sale.Answer with positive or negative enumber.




Put your comment
 
Minimize


Ask Question & Get Answers from Experts
Browse some more (Accounting Basics) Materials
Prepare the eliminating entries needed as of December 31, 2015, to complete a consolidation worksheet. Prepare a three-part consolidation worksheet as of December 31, 2015.
Tiffany is trying to decide whether or not she can afford the monthly payment of a loan to purchase a new car. The car costs $19,600. She is considering a 5-year loan at 6%
The rapid growth of technology has aided Criminal activity in many ways. The internet allows communication between individuals without having to be near one another. It help
A risk averse person with a von-Neumann-Morgenstern utility index of: U = ln(Y) has a 20% chance that a disaster will reduce her regular income of $100,000 to zero. She can bu
You are a fraud investigator who has been hired to detect financial statement fraud for the Chipmunk Company. You have been provided with the financial statements on the fol
On July 20, Wolverine presents credit card receipts to its bank in the amount of $10,000; the collection charge is 4%. Prepare the journal entry on Wolverine's books on July
Let's talk about donated services. Clearly unique to nonprofits (well, I've never heard of anyone willingly donating their time and efforts to General Motors, but I guess it
Terms called for a down payment of $500,000 with the balance in two equal annual installments payable on December 15, 2012, and December 15, 2013. Ignore interest charges.