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Teem company purchased equipment costing 214 000 $ on march,3,,2011 ,under the assumption it would have a five-year life and a 34000 trade-in value on Feb 20,2015 a major overhaul on the equipment required the insallation of a new motor .the total cost of the insallation was 56000 and the useful life was adjusted to a total of seven years and a 30000$ trade-in value.teem uses the straight line methode to the nearest month for calculating amortization . Required : 1- record the insallation of the new motor on FEB 20,2015 ((PAID CASH )) B- record amortization at Dec 31,2015 Teems year-end . ************************************ Q2. ON october 6,2011 greenbelt construction traded in an old tractor for a new truck ,receiving 56000 trade-in allowance and paying the remaining 164000$ in cash the old tractor cost 190000 and straight line amortization of 105000 had ,been recorded as of october 6,2011 Assume the fair value of the old tractor was equal to the trade-in allowance a- what was the book value of the old tractor b- what was the gain or loss on the exchange? c- what amount should be debited to the new truck account d- record the exchange وجزاكم الله خيرا اخواني الاعزاء وساظل ادعو لكم ما دمت على قيد الحياة -
department with beginning and ending wip inventory : fifo beginning wip inventory is 40 percent complete for direct materials and 80 percent complete for conversion costs. ending wip inventory is 25 percent complete for direct materials and 60 percent complete for conversion costs.
