Name: Date:

NPM: Course:
INSTRUCTION: Determine depreciation for partial periods.
Swinton Company purchased a new machine on October 1, 2012, at a cost of $120,000 The
company estimated that the machine will have a salvage value of $12,000 The machine is
expected to be used for 10,000 working hours during its 5 -year life.

Instructions:
Compute the depreciation expense under the following methods for the year indicated:
(a) Straight-line for 2012. (The Excel "SLN" formula can be used for this method.)

Cost: Amount Depreciation Expense:

Salvage value: Amount Depreciation Expense only for 2012:
Life in years: Number
Months in first year: Number

(b) Units-of-activity for 2012, assuming machine usage was 1,700 hours.

Cost: Amount
Salvage value: Amount
Title Formula
Life in hours: Number
Depreciation value/hour: Formula
Hours in 2012: Number
Depreciation in 2012: Formula

(c) Declining-balance using double the straight-line rate for 2012 and 2013.

2012 Depreciation:

Book Value, 1 January 2013:

2013 Depreciation:

562065082.xlsx, Soal 2, Page 1 of 5 Page(s), 12/05/202112:34:02

Assalamualaikum Warrahmatullahi Wabarakatuh

Soal ujian terdiri dari 2 soal komprehensif mengenai Fixed Asset dan Bond

Waktu ujian adalah 2 jam (120 menit) dimulai dari pukul 10.00 - 12.00 WIB

Soal langsung dijawab di tempat yang tersedia

Jawaban dikumpulkan ke email: rahmawijayanti@tazkia.ac.id

Subject email jawaban: nama mahasiswa-UTS SP PA 2

Tidak diperkenankan:
Melihat buku, slide perkuliahan, browsing dan menyalin jawaban mahasiswa

Selamat mengerjakan, semoga Allah mudahkan

 Name: Date:
NPM: Course:

On January 1, 2012, Zakiuddin Company purchased the following two machines for use in its production process.

Machine A: The cash price of this machine was $55,000

Related expenditures included:
Sales tax: $2,750
Shipping costs $100
Insurance during shipping $75
Installation and testing $75
Oil and lubricants to used with the
machine during its first year of $90
operations:
Zakiuddin estimates that the useful life of the machine is 4 years with a
$5,000 salvage value remaining at the end of that time period.

Machine B: The recorded cost of this machine was $100,000 Zakiuddin estimates that the useful
life of the machine is 4 years with a $10,000 $10,000 salvage value remaining at
the end of that time period.

Instructions:
(a) Prepare the following for Machine A:
(a) (1) The journal entry to record its purchase on January 1, 2012.
Title Amount
Title Amount
Title Amount
Title Amount
Title Amount
Total cost of machinery Amount

Account title Amount

Entry -->
Account title Amount

(a) (2) The journal entry to record annual depreciation at December 31, 2012, assuming the straight-line method of
depreciation is used.
Recorded cost Amount
Title Amount
Title Amount
Title Amount
Annual depreciation Amount

Account title Amount

Entry -->
Account title Amount

(b) Calculate the amount of depreciation expense that Zakiuddin should record for machine B each year of its useful life
under the following assumption.
(b) (1) Zakiuddin uses the straight-line method of depreciation.
Recorded cost Amount
Title Amount
Title Amount
Title Amount
Annual depreciation Amount

562065082.xlsx, Fixed Asset, Page 3 of 5 Page(s), 12/05/202112:34:02

 Name: Date:
NPM: Course:
(b) (2) Zakiuddin uses the declining-balance method. The rate used is twice the straight-line rate.
Book Value Annual
at Beginning Depreciation Accumulated
Year of Year DDB Rate Expense Depreciation
2012 Amount Percentage Formula Formula
2013 Formula Percentage Formula Formula
2014 Formula Percentage Formula Formula
2015 Formula Percentage Formula Formula

Area for computation as needed

Area for computation as needed

(b) (3) Zakiuddin uses the units-of-activity method and estimates the useful life of the machine is 25,000
units. Actual usage is as follows: 2012 5,500 2014 8,000
2013 7,000 2015 4,500

Area for computation as needed

Annual Depreciation Expense

Year: Activity: Rate: Period Depreciation:
2012 Number Amount Formula
2013 Number Amount Formula
2014 Number Amount Formula
2015 Number Amount Formula

(c) Which method used to calculate depreciation on machine B reports the lowest amount of depreciation expense in
year 1 (2012)? The lowest amount in year 4 (2015)? The lowest total amount over the 4-year period?

Enter text answer here

Enter text answer here

Enter text answer here

Enter text answer here

562065082.xlsx, Fixed Asset, Page 4 of 5 Page(s), 12/05/202112:34:02

 Name: Date:
NPM: Course:
INSTRUCTION: Prepare entries to record issuance of bonds, payment of interest, and amortization of bond discount using
effective interest method.

On July 1, 2015, Leo inc issued $4,500,000 face value, 9% 10 -year bonds
at $4,219,600 This price resulted in an effective-interest rate of 10% on the bonds. Sagittarius
uses the effective-interest method to amortize bond premium or discount. The bonds pay semiannual interest July 1 and January 1.

Instructions: (Round all computations to the nearest dollar.)

(a) Prepare the journal entry to record the issuance of the bonds on July 1, 2015.

Jul 1, 15 Cash 4,219,600

Discount on Bonds Payable 280,600
Bonds Payable 4,500,000

(b) Prepare the journal entry to record the accrual of interest and the amortization of the discount on December 31, 2015.

SAGITTARIUS CORPORATION
Bond Discount Amortization
Effective-Interest Method—Semiannual Interest Payments
9% Bonds Issued at 10%
(A) (B) (C) (D) (E)
Interest Bond
Semi-annual Interest Expense Discount Unamortized Carrying
Interest to Be to Be Amortization Discount Value
Periods Paid Recorded (B) – (A) (D) – (C) ($4,500,000 - D)
Issue date $280,600 $4,219,600
1 $202,500 $210,980 $8,480 271,920 4,228,080
2 202,500 211,404 $8,904 263,016 4,236,984
3 202,500 211,849 $9,349 253,667 4,246,333

(c) Prepare the journal entry to record the accrual of interest and the amortization of the discount on December 31, 2015.

Dec 31, 15 Interest Expense 210,980

Discount on Bonds Payable 8,480
Interest Payable 202,500

(d) Prepare the journal entry to record the payment of interest and the amortization of the discount on July 1, 2016, assuming that
interest was not accrued on June 30.

Jul 1, 16 interest Expense 211,404

Discount on Bonds Payable 8,904
Cash 202,500

(e) Prepare the journal entry to record the accrual of interest and the amortization of the discount on December 31, 2016.

Dec 31, 16 Interest Expense 211,849

Discount on Bonds Payable 9,349
Interest Payable 202,500

562065082.xlsx, Bond , Page 5 of 5 Page(s), 12/05/202112:34:02