Depreciation: Straight Line Video Lessons

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Problem: Equipment worth $100,000 with a useful life of 10 years is purchased on 1/1/13. Using straightline depreciation, what journal entry needs to be recorded at year-end 12/31/13 if no adjusting entries have been recorded throughout the year? a. Debit depreciation expense and credit accumulated depreciation in the amount of $10,000 for each account. b. Debit depreciation expense and credit accumulated depreciation in the amount of $833 for each account. c. Debit accumulated depreciation and credit accumulated depreciation in the amount of $833 for each account. d. Debit depreciation expense and credit accumulated depreciation in the amount of $100,000 for each account.

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Problem Details

Equipment worth $100,000 with a useful life of 10 years is purchased on 1/1/13. Using straightline depreciation, what journal entry needs to be recorded at year-end 12/31/13 if no adjusting entries have been recorded throughout the year?

a. Debit depreciation expense and credit accumulated depreciation in the amount of $10,000 for each account.

b. Debit depreciation expense and credit accumulated depreciation in the amount of $833 for each account.

c. Debit accumulated depreciation and credit accumulated depreciation in the amount of $833 for each account.

d. Debit depreciation expense and credit accumulated depreciation in the amount of $100,000 for each account.

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What scientific concept do you need to know in order to solve this problem?

Our tutors have indicated that to solve this problem you will need to apply the Depreciation: Straight Line concept. You can view video lessons to learn Depreciation: Straight Line. Or if you need more Depreciation: Straight Line practice, you can also practice Depreciation: Straight Line practice problems.

What is the difficulty of this problem?

Our tutors rated the difficulty ofEquipment worth $100,000 with a useful life of 10 years is p...as medium difficulty.

What professor is this problem relevant for?

Based on our data, we think this problem is relevant for Professor Hardy's class at WEBER.