BA 3340 Lecture Notes - Lecture 24: Bundesautobahn 48, Retained Earnings, General Journal
Document Summary
Company purchases a machine on 1 jan 2013 for 000 with a useful life of 4 years and a residual value of 000. The company uses slm for depreciation with an annual depreciation expense of 000 (30 000 2 000 4) Company sells the machine on 30 june 2015 for 000. Update accumulated deprecation account since the last time it was recorded (31 dec 2014) . 6 months of depreciation = 500 depreciation expense. Accumulated deprecation account is updated up to 30 june 2015 = 17 500 (7 000 in 2013, Company sells machine on 31 march 2016 for 000. Update accumulated deprecation account since the last time it was recorded (31 dec 2015) . 3 months of depreciation = 750 depreciation expense. Accumulated deprecation account is updated up to 31 march 2016 = 22 750 (7 000 in 2013, Evaluating a company"s management of non current assets.
