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Events related to the acquisition, use, and disposal of a tangible plant asset: straight-line depreciation
Cook Wrecker Co. purchased a truck on January 1, 2010, for $37,000. In addition, Cook paid sales tax and title fees of $2,000 for the truck. The truck is expected to have a four-year life and a salvage value of $7,000.
Required
a. Using the straight-line method, compute the depreciation expense for 2010 and 2011.
b. Assume the truck was sold on January 1, 2013, for $15,000. Determine the amount of gain or loss that would be recognized on the asset disposal.
Evaluate the individual product costs per unit assuming that Tiger Furnishings uses machine-hours to allocate overhead to the products.
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a company reported the following stockholders equity on january 1 of the curent year: common stock $10 par, 1,000,000 shares authorized, 400,000 shares issued $4,000,000. Contributed capital in excess of par, common 1,200,000. Retained earnings 1,6..
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You have been given the following information for Ethan Company as of June 1, 2010. Ethan Company purchased a parcel of land and then incurred specific costs for the construction of a new building
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