Foley Word Processing Service Uses the Straight-Line Method of Depreciation

question 221

Essay

Foley Word Processing Service uses the straight-line method of depreciation. The company's fiscal year end is December 31. The following transactions and events occurred during the first three years.
2017 July 1 Purchased a computer from the Computer Center for $1,900 cash plus sales tax of $150, and shipping costs of $50.
Nov. 3 Incurred ordinary repairs on computer of $140.
Dec. 31 Recorded 2017 depreciation on the basis of a four year life and estimated salvage value of $500.
2018 Dec. 31 Recorded 2018 depreciation.
2019 Jan. 1 Paid $300 for an upgrade of the computer. This expenditure is expected to increase the operating efficiency and capacity of the computer.
Instructions
Prepare the necessary entries. (Show computations.)

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Definitions:

A-delta Fibers

A-delta Fibers are fast-conducting nerve fibers that transmit sharp, immediate pain to the brain, playing a crucial role in the body's pain response system.

Myelinated

Refers to nerve fibers covered by a myelin sheath, which increases the speed at which electrical impulses are transmitted along the nerve cells.

C Fibers

Small-diameter nerve fibers that provide information concerning slow, diffuse, lingering pain.

Unmyelinated

Referring to nerve fibers that lack a myelin sheath, which often results in slower signal transmission compared to myelinated fibers.