Depreciate all plant assets using the straight-line method. Plant asset records, a general journal, and a cash payments journal are provided in the Working Papers. Source documents are abbreviated as: check, C: memorandum, M.

Work independently to complete the following problem.

1. Journalize the transactions completed during 20X1. General ledger accounts are: Office Equipment, 1225 and Store Equipment, 1235.
2. Complete section 1 of a plant asset record for new asset purchases.

Transcribed Image Text:

Jan. 2. Bought a cash register (plant asset no. 416) on account from JP Enterprises, $800.00: estimated salvage value, $200.00; estimated useful life, five years; serial no. G3HR644. M35. Jan. 6. Paid cash for an office chair (plant asset no. 417), $500.00: estimated salvage value, $10.00; estimated useful life, seven years; serial no. FB1523. C415. Feb. 26. Paid property taxes on real property with an assessed value of $280,000.00. The tax rate in the city where the property is located is 4.2% of assessed value. C489.