Financial Accounting: Depreciation and Equipment Purchase Analysis, Quizzes of Accounting

Download Financial Accounting: Depreciation and Equipment Purchase Analysis and more Quizzes Accounting in PDF only on Docsity! Question 1 0.5 / 0.5 pts How much of the $625,000 purchase price for the land and building should Cowboy Ice Cream allocate to the land?   Question 2 0.5 / 0.5 pts After Cowboy Ice Cream remodels the building, what is the total amount in the building account? + 95000(Remodeling Expense-Capital Exp) 343750 + 95000= 438750   Question 3 0 / 0.5 pts What amount of depreciation should Cowboy Ice Cream record for the building each year? (Make Correction - Depreciate the above value Not the amended one)   Question 4 0.5 / 0.5 pts 281,250 438750 9,791.67 After purchasing and installing the freezer, what is the total amount that Cowboy Ice Cream should have in the equipment account?   Question 5 0.5 / 0.5 pts What is the book value of the freezer at the end of year one?   Question 6 0.5 / 0.5 pts On January 1, 2019, Pete Company purchases manufacturing equipment for $120,000.  Installation and delivery costs totaled $8,000.  Yearly maintenance costs on the equipment are expected to be $6,000.  The expected useful life is 8 years with a salvage value of $12,000. What amount should Pete Company have in its equipment account after the purchase?   Question 7 0.5 / 0.5 pts 4,289 3,719.14 128,000