The following expenditures relating to plant assets were made by Glenn Company during the first 2 month

Indicate the account each expenditure would increase.
1.Paid $7,000 of accrued taxes at the time the plant site was acquired.
2.Paid $200 insurance to cover a possible accident loss on new factory machinery while the machinery was in transit.
3.Paid $850 sales taxes on a new delivery truck.
4.Paid $21,000 for parking lots and driveways on the new plant site.
5.Paid $250 to have the company name and slogan painted on the new delivery truck
6.Paid $8,000 for installation of new factory machinery.
7.Paid $900 for a 2-year accident insurance policy on the new delivery truck.
8.Paid $75 motor vehicle license fee on the new truck.

Alysha Monet has prepared the following list of statements about depreciation.

Identify each statement as true or false.	TRUE /FALSE
1. Depreciation is a process of asset valuation, not cost allocation.
2. Depreciation provides for the proper matching of expenses with revenues.
3.The book value of a plant asset should approximate its fair value.
4.Depreciation applies to three classes of plant assets: land, buildings, and equipment.
5. Depreciation does not apply to a building because its usefulness and revenue-producing ability generally remain intact over time.
6. The revenue-producing ability of a depreciable asset will decline due to wear and tear and to obsolescence.
7. Recognizing depreciation on an asset results in an accumulation of cash for replacement of the asset
8. The balance in accumulated depreciation represents the total cost that has been charged to expense since placing the asset in service.
9. Depreciation expense and accumulated depreciation are reported on the income statement.
10. Three factors affect the computation of depreciation: cost, useful life, and salvage value.

Wildhorse Co. purchased a new machine on October 1, 2022, at a cost of $88,000. The company estimated that the machine has a salvage value of $8,480. The machine is expected to be used for 71,500 working hours during its 8-year life.

Compute the depreciation expense under the straight-line method for 2022 and 2023, assuming a December 31 year-end. (Round answers to O decimal places, eg. 5,275)

2022

2023

The depreciation expense under the straight-line method

Suppose during 2022 that Federal Express reported the following information (in millions): net sales of $35,000 and net income of $230. Its balance sheet also showed total assets at the beginning of the year of $24,800 and total assets at the end of the year of $15,200.

Calculate the asset turnover and return on assets. (Round answers to 2 decimal places, eg. 6.25 or 17.54%)

Asset turnover

times

Return on assets

Suppose Nike, Inc. reported the following plant assets and intangible assets for the year ended May 31, 2022 (in millions): other plant assets $942.0, land $210.0, patents and trademarks (at cost) $500.0, machinery and equipment $2,050.0, buildings $930.0, goodwill (at cost) $190.0, accumulated amortization $43.0, and accumulated depreciation $2,150.0.

Prepare a partial balance sheet for Nike for these items. (List Property, Plant and Equipment in order of Land, Buildings, Machinery and Equipment and Other Plant Assets. Round answers to 1 decimal place, eg. 5,275.5)