Solved

Bruno Enterprises Has Constructed a Heavy Weight Hydraulic Lifter That

Question 25

Multiple Choice

Bruno Enterprises has constructed a heavy weight hydraulic lifter that it plans to use in maintaining and repairing its fleet of 18 wheeler trucks. The costs to build the lifter were wages of $11 000, raw materials of $19 000, depreciation of $4 000 and supplies of $1 000. Wages have not yet been paid. The equipment is judged to have probable future economic benefits of greater than its cost. What would be the accounting entry to record this event?


A) Bruno Enterprises has constructed a heavy weight hydraulic lifter that it plans to use in maintaining and repairing its fleet of 18 wheeler trucks. The costs to build the lifter were wages of $11 000, raw materials of $19 000, depreciation of $4 000 and supplies of $1 000. Wages have not yet been paid. The equipment is judged to have probable future economic benefits of greater than its cost. What would be the accounting entry to record this event? A) B) C) D) E) None of the given answers.
B) Bruno Enterprises has constructed a heavy weight hydraulic lifter that it plans to use in maintaining and repairing its fleet of 18 wheeler trucks. The costs to build the lifter were wages of $11 000, raw materials of $19 000, depreciation of $4 000 and supplies of $1 000. Wages have not yet been paid. The equipment is judged to have probable future economic benefits of greater than its cost. What would be the accounting entry to record this event? A) B) C) D) E) None of the given answers.
C) Bruno Enterprises has constructed a heavy weight hydraulic lifter that it plans to use in maintaining and repairing its fleet of 18 wheeler trucks. The costs to build the lifter were wages of $11 000, raw materials of $19 000, depreciation of $4 000 and supplies of $1 000. Wages have not yet been paid. The equipment is judged to have probable future economic benefits of greater than its cost. What would be the accounting entry to record this event? A) B) C) D) E) None of the given answers.
D) Bruno Enterprises has constructed a heavy weight hydraulic lifter that it plans to use in maintaining and repairing its fleet of 18 wheeler trucks. The costs to build the lifter were wages of $11 000, raw materials of $19 000, depreciation of $4 000 and supplies of $1 000. Wages have not yet been paid. The equipment is judged to have probable future economic benefits of greater than its cost. What would be the accounting entry to record this event? A) B) C) D) E) None of the given answers.
E) None of the given answers.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Q14: The description of 'probable' in the AASB

Q21: The classification of assets into current or

Q22: Under AASB 101 the classification of assets

Q25: Land and buildings may be valued at:
A)

Q26: 'Recognised' in relation to asset disclosure may

Q28: In a previous period Banshee Ltd wrote-off

Q31: An asset is classified as current when:
A)

Q32: Where the entity presents current assets separately

Q34: In the case of classifying a liability

Q37: Which of the following assets are recognised

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents