Chapter 8
ACCOUNTING FOR PLANT ASSETS
ESSENTIAL QUESTIONS
How are journal entries recorded for buying plant assets?
How is property tax calculated?
How is depreciation expense calculated and journalized using the straight-line depreciation method?
A plant asset can be discarded, sold or traded. How would each of these conditions be recorded?
How is depreciation expense calculated using the declining-balance method?
How is depreciation expense calculated using the sum-of-the-years-digits method?
How is depreciation expense calculated using the production-unit method?TERMS FOR CHAPTER 8
- real property
- personal property
- assessed value
- straight-line method of depreciation
- book value of a plant asset
- sum-of-the-years' digits method of depreciation
- production-unit method of depreciation
- modified accelerated cost recovery system
- depletionASSIGNMENTS
Define Terms for the Chapter
Buying Plant Assets
Read pp. 216-221
1) View PowerPoint presentation intro and 8-1
2) Complete Application Problems 8-1 and 8-2 p. 243
3) Work on Study Guide 8
Time 2 daysCalculating and Journalizing
Depreciation Expense
Read pp. 222-226
1) View PowerPoint presentation 8-2
2) Complete Application Problems 8-3 and 8-4 pp. 243-244
3) Continue to Work on Study Guide 8
Time 2 daysDisposing of Plant Assets
Read pp. 227-233
1) View PowerPoint presentation 8-3
2) Complete Application Problems 8-5 and 8-6 pp. 244-245
3) Continue to Work on Study Guide 8
Time 2 days
Other Methods of Depreciation
Read pp. 234-241
1) View PowerPoint presentation 8-4
2) Complete Application Problem 8-7 p. 245
3) Complete Application Problem 8-8 p. 245
3) Complete Mastery Problem 8-11 p. 246
4) Complete Study Guide 8
Time 3 daysChapter Eight Internet Activity
Accounting in Your Career p. 217 OR
Cases for Critical Thinking p. 248 choose any two cases.
Time 2 daysAll Chapter 8 assignments must be handed in by April 23rd. No Exceptions.
Challenge Problem 8-12 p. 247 may be completed for extra credit
NOTES ON DEPRECIATION
