accounting question 405303 | Homework Solutions

Conover Company ordered a machine on January 1, 2009, at a purchase price of $20,900. On the date of delivery, January 2, 2009, the company paid $7,500 on the machine and signed a note payable for the balance. On January 3, 2009, it paid $390 for freight on the machine. On January 5, Conover paid installation costs relating to the machine amounting to $1,200. On December 31, 2009 (the end of the accounting period), Conover recorded depreciation on the machine using the straight line method with an estimated useful life of 12 years and an estimated residual value of $3,350.

Don't use plagiarized sources. Get Your Custom Essay on

This is a Snippet Preview Access a Complete Custom Written Paper Done by Our Expert Writers

Order Essay

Requirement 1:

Indicate the effects (accounts, amounts, and + , ‘ , or “NE” for no effect) of each transaction (on January 1, 2, 3, and 5) on the accounting equation. Use the following schedule:

Date	Assets		=	Liabilities		+	Stockholders’ Equity
Jan. 1	(Click to select) Note payable Accounts payable Cash No effect Equipment	(Click to select) 1,200 +390 390 +1,200 20,900 13,400 +13,400 +20,900 NE		(Click to select) Cash Accounts payable Note payable No effect Equipment	(Click to select) +1,200 13,400 20,900 390 1,200 +390 +20,900 NE +13,400		(Click to select) Note payable Accounts payable Equipment Cash No effect
Jan. 2	(Click to select) Accounts payable No effect Cash Equipment Note payable	(Click to select) +1,200 +390 +13,400 1,200 7,500 NE 390 13,400 +7,500		(Click to select) Note payable Equipment Cash No effect Accounts payable	(Click to select) +13,400 1,200 +20,900 +390 +1,200 390 NE 20,900 13,400
	(Click to select) Equipment Cash Accounts payable Note payable No effect	(Click to select) +13,400 +20,900 +390 +1,200 20,900 NE 1,200 390 13,400
Jan. 3	(Click to select) Cash Note payable Accounts payable Supplies No effect	(Click to select) +20,900 +390 +13,400 20,900 NE 13,400 +1,200 1,200 390
	(Click to select) No effect Note payable Equipment Supplies Accounts payable	(Click to select) +1,200 +13,400 390 20,900 NE 13,400 +20,900 1,200 +390
Jan. 5	(Click to select) No effect Note payable Supplies Accounts payable Cash	(Click to select) +20,900 +13,400 390 +1,200 NE +390 13,400 20,900 1,200
	(Click to select) No effect Supplies Equipment Note payable Accounts payable	(Click to select) 20,900 1,200 390 NE +1,200 +13,400 +20,900 +390 13,400

Requirement 2:

Compute the acquisition cost of the machine.(Omit the “$” sign in your response.)

Acquisition cost

Requirement 3:

Compute the depreciation expense to be reported for 2009.(Round your answer to the nearest dollar amount. Omit the “$” sign in your response.)

Depreciation

Requirement 4:

What should be the book value of the machine at the end of 2010?(Round your answer to the nearest dollar amount. Omit the “$” sign in your response.)

Book value

Top Quality and Well-Researched Papers

We always make sure that writers follow all your instructions precisely. You can choose your academic level: high school, college/university or professional, and we will assign a writer who has a respective degree.

Professional and Experienced Academic Writers

We have a team of professional writers with experience in academic and business writing. Many are native speakers and able to perform any task for which you need help.

Free Unlimited Revisions

If you think we missed something, send your order for a free revision. You have 10 days to submit the order for review after you have received the final document. You can do this yourself after logging into your personal account or by contacting our support.

Prompt Delivery and 100% Money-Back-Guarantee

All papers are always delivered on time. In case we need more time to master your paper, we may contact you regarding the deadline extension. In case you cannot provide us with more time, a 100% refund is guaranteed.

Original & Confidential

We use several writing tools checks to ensure that all documents you receive are free from plagiarism. Our editors carefully review all quotations in the text. We also promise maximum confidentiality in all of our services.

24/7 Customer Support

Our support agents are available 24 hours a day 7 days a week and committed to providing you with the best customer experience. Get in touch whenever you need any assistance.

Try it now!

Calculate the price of your order

Type of paper needed:

Pages:

Academic level:

Total price:

$0.00

How it works?

Follow these simple steps to get your paper done

Place your order

Fill in the order form and provide all details of your assignment.

Proceed with the payment

Choose the payment system that suits you most.

Receive the final file

Once your paper is ready, we will email it to you.

Our Services

No need to work on your paper at night. Sleep tight, we will cover your back. We offer all kinds of writing services.

Essays

Essay Writing Service

No matter what kind of academic paper you need and how urgent you need it, you are welcome to choose your academic level and the type of your paper at an affordable price. We take care of all your paper needs and give a 24/7 customer care support system.

Admissions

Admission Essays & Business Writing Help

An admission essay is an essay or other written statement by a candidate, often a potential student enrolling in a college, university, or graduate school. You can be rest assurred that through our service we will write the best admission essay for you.

Reviews

Editing Support

Our academic writers and editors make the necessary changes to your paper so that it is polished. We also format your document by correctly quoting the sources and creating reference lists in the formats APA, Harvard, MLA, Chicago / Turabian.

Reviews

Revision Support

If you think your paper could be improved, you can request a review. In this case, your paper will be checked by the writer or assigned to an editor. You can use this option as many times as you see fit. This is free because we want you to be completely satisfied with the service offered.