Academic Integrity: tutoring, explanations, and feedback — we don’t complete graded work or submit on a student’s behalf.

The balances of select accounts of Donovan, Inc. as of December 31, 2018 are giv

ID: 2410385 • Letter: T

Question

The balances of select accounts of Donovan, Inc. as of December 31, 2018 are given below.

Debit

Credit

Building

$120,000

Cash

7,000

Office Supplies

700

Furniture

6,000

Prepaid Insurance

650

Depreciationlong dash—Furniture

$4,000

Land

33,000

Depreciationlong dash—Building

4,000

Accounts Receivable

4,000

What amount of total long?term assets would be shown on the balance sheet at December 31, 2018?

A.$159,000

B.$151,000

C.$153,000

D.$120000

Debit

Credit

Building

$120,000

Cash

7,000

Office Supplies

700

Furniture

6,000

Prepaid Insurance

650

Accumulated

Depreciationlong dash—Furniture

$4,000

Land

33,000

Accumulated

Depreciationlong dash—Building

4,000

Accounts Receivable

4,000

Explanation / Answer

B. $151,000

Long-term Assets = Building + Furniture + Land - Accumulated Depreciation--Furniture - Accumulated Depreciation--Building

Long-term Assets = $120,000 + $6,000 + $33,000 - $4,000 - $4,000 = $151,000

Hire Me For All Your Tutoring Needs
Integrity-first tutoring: clear explanations, guidance, and feedback.
Drop an Email at
drjack9650@gmail.com
Chat Now And Get Quote