Lifestyle Lighting Ltd. reported the following on its balance sheet at December 31, 2016: Property, plant and

Question:

Lifestyle Lighting Ltd. reported the following on its at December 31, 2016:
Property, plant and equipment, at cost:
Land ..................................................................................................... $ 150,000
Buildings ................................................................................................. 400,000
Less Accumulated depreciation .............................................................. (87,500)
Equipment ............................................................................................... 600,000
Less Accumulated depreciation ............................................................ (260,000)
In early July 2017, Lifestyle Lighting Ltd. expanded operations and purchased additional equipment at a cost of $100,000. The company depreciates buildings by the straight-line method over 20 years with residual value of $50,000. Due to obsolescence, the equipment has a useful life of only 10 years and is being depreciated by the double-diminishing-balance method with zero residual value.
Requirements
1. Journalize Lifestyle Lighting Ltd.'s property, plant, and equipment purchase and depreciation transactions for 2017.
2. Report property, plant, and equipment on the December 31, 2017, Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...