Give the Required Adjusting Entry at December 31, 20F, the End

question 112

Essay

Give the required adjusting entry at December 31, 20F, the end of the annual accounting period for the three items below. If no entry is required, explain why.
A. Web Company acquired a patent that cost $4,260 on January 1, 20F. The patent was registered on January 1, 20A. The legal life of a patent is 17 years from registration. Web expects to use the patent the remaining legal life.
B. Web Company acquired a gravel pit on January 1, 20F, that cost $24,000. The company estimates that 30,000 tons of gravel can be extracted economically. During 20F 4,000 tons were extracted and sold.
C. On January 1, 20F, Web Company acquired a dump truck that cost $6,000 to use hauling gravel. The company estimated a residual value of 10% of cost and a useful life 4 years. The company uses straight-line depreciation.

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Definitions:

Physiological-based Solution

An approach to solving problems that relies on understanding and modifying the body's natural processes.

Alarm Reaction

The initial phase in the body’s response to stress, activating various physiological changes for fight or flight.

Resistance Reaction

A psychological response where an individual opposes changes or challenges to their thoughts, behaviors, or environment.

Adaptive

Characterized by the ability to adjust effectively to new conditions or to those changes in one's environment.