90.2K

Verified Solution

Link Copied!

On October 1, 2017, Holt Company places a new asset into service. The cost of the asset is $12,000 with an estimated 5-year life and $30,000 salvage value at the end of its useful life. What is the book value of the plant asset on the December 31, 2017, balance sheet assuming that Holt Company uses the double-declining-balance method of depreciation? Select one: a. $ 114,000 b. $108,000 @ C. $90,000 d. The answer does not exist e. 578.000 Watunga County Bank agrees to lend Hoffman Granite Company $600,000 on January 1. Hoffman Granite Company signs a $600,000, 9%, 9-month note. What is the adjusting entry required if Hoffman Granite Company prepares financial statements on June 30? n Select one: a. The answer does not exist b. Interest Payable..... Interest Expense .24,000 24,000 c. interest Expense.. Interest Payable 24,000 24,000 d. Interest Payable... Cash. 24,000 24,000 e Interest Expense. Cash 24,000 24,000 Yanik Company's delivery truck, which originally cost $84,000, was destroyed by fire. At the time of the fire, the balance of the Accumulated Depreciation account amounted to $57,000. The company received $48,000 reimbursement from its insurance company. The gain or loss as a result of the fire was on Select one: a. $36,000 gain. @ b. $21,000 gain. c. The answer does not exist d. $36,000 loss. e. $21,000 loss

Answer & Explanation Solved by verified expert

See Answer