Limn Associates surveys American online shopping habits. The companys accounts include Land, Buildings, Office Equipment, and Communication

Limón Associates surveys American online shopping habits. The company’s accounts include Land, Buildings, Office Equipment, and Communication Equipment, with a separate Accumulated Depreciation account for each asset. During 2025, Limón Associates completed the following transactions: 

Record the transactions in the journal of Limón Associates.

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Jan. 1 Apr. 1 Sep. 1 Dec. 31 Purchased office equipment, $122,000. Paid $90,000 cash and financed the remainder with a note payable. Acquired land and communication equipment in a lump-sum purchase. Total cost was $430,000 paid in cash. An independent appraisal valued the land at $338,625 and the communication equipment at $112,875. Sold a building that cost $560,400 (accumulated depreciation of $260,000 through December 31 of the preceding year). Limón Associates received $390,000 cash from the sale of the building. Depreciation is computed on a straight-line basis. The building has a 40-year useful life and a residual value of $90,000. Recorded depreciation as follows: Communication equipment is depreciated by the straight-line method over a five-year life with zero residual value. Office equipment is depreciated using the double-declining-balance method over five years with a $1,000 residual value.