confused

FratBro23
Category:
Business & Finance
Price: $5 USD

Question description

Presented below is information related to Morrow Manufacturing Corporation.

Machine

Cost

Estimated Salvage Value

Estimated Life (in years)

A

$86,265

$11,715

10

B

71,568

10,224

9

C

76,680

7,668

8

D

40,470

3,195

7

E

50,055

5,325

6


(a)Compute the rate of depreciation per year to be applied to the machines under the composite method.(Round answer to 2 decimal place, e.g. 4.83%.)

Composite rate

10.98 %


(b)Prepare the adjusting entry necessary at the end of the year to record depreciation for the year.(If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Account Titles and Explanation

Debit

Credit


(c)Prepare the entry to record the sale of Machine D for cash of $10,650. It was used for 6 years, and depreciation was entered under the composite method.(If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Account Titles and Explanation

Debit

Credit

Click here if you would like to Show Work for this question

I do not understanding how to figure out part c. I have part a and b done correctly


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(Top Tutor) Daniel C.
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