Super Girl asked:


How to recognize amortization expense for journal entries
It just says
Recognize amortization expense
amount : 200 $

What do I do?
is it Debit -Amortization Expense
Credit – Cash
is it Debit -Amortization Expense
Credit – Cash

dsgbe1 asked:


Hello,

I need help. Please assist if you can

Straight line amortization of bond discount and bond premium problem.

Romero issues $3,400,000 of 10%, 10 year bonds dated January 1, 2007, that pays interest semiannually on June 30 and December 31. The bonds are issue at a price of $3, 010,000.

1. Prepare January 1, 2007, journal entry to record the bonds issuance

2. For each semiannual period, compute (a) the cash payment, (b)the straight line discount amortization and (c)the bond interest expense.

3. Prepare the first two years of an amortization table using the straight line method

4. Prepare the journal entries to record the first two interest payments

5. Assume that the bonds are issued at a price of $4,192,932. Repeats parts 1 through 5.

The Critic asked:


Looking for the best/cheapest mortgage loan on the market in Australia. Please tell us the company and or the particular product.

goodfella_4 asked:


On January 1, 2003, Staton Company paid $160,000 to obtain a patent. Staton expected to use the patent for 5 years before it became technologically obsolete. Based on this information, the amount of amortization expense on the December 31, 2005 income statement and the book value of the patent on the December 31, 2005 balance sheet would be:

a. $32,000 / $96,000.

b. $32,000 / $54,000.

c. $54,000 / $96,000.

d. $54,000 / $54,000.

. asked:


I dont understand because this has no effect on the bank or cash balance. Or does it?

Jessica asked:


what are the concepts of depreciation and amortization????

Azume asked:


Which of the following would be use of Straight-Line Method of Amortization be acceptable?

a) building
b) Patent
c) Goodwill
d) All of the above

rusalka asked:


Is the amortization of a long term asset such as a building or vehicle considered to be a cash flow? If it is, is it cash from operations or investing?

Joe S asked:


can someone help me out with this, its been so long since ive done it and havent got a clue… heres the transaction:

Amortization is calculated on the capital assets using the following methods and useful lives:

building, straight-line, 25 years, $15000 residual value
equipment, single declining-balance, 5 years, $2000 residual value
Patent, straight-line, 20 years, no residual value

heres the accounts:
Building – $105000
Building Accumulated Amortization – $10800
Equipment – $25000
Equipment Accumulated Amortization – $12200
Patent (net of $11250 accumulated amortization) – $ 63750

the accounts for the journal entries are amortization expense debit, accumulated amortization and patent credit, right? i just have no idea how to find these numbers…

Terri asked:


The Centennial Chemical Corporation announced that for the period ending March 31, 2008, it had earned income after taxes worth $5,330,275 on revenues of $13,144,680. The company’s costs (excluding depreciation and amortization) amounted to 61 percent of sales, and it had interest expenses of $392,168. What is the firm’s depreciation and amortization expense if its tax rate is 34 percent?