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1 Jan 3 Clarion Co.completed the following transactions and events involving the purchase and operation of equipment in Its business 2016 Jan Pald $300,000 cash

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1 Jan 3 Clarion Co.completed the following transactions and events involving the purchase and operation of equipment in Its business 2016 Jan Pald $300,000 cash plus $30,000 in sales tax and $12,500 in transportation (FOB shipping point) for a new loader, which is estimated to have a four-year life and a $25,500 salvage value. Loader costs are recorded in the Equipment account. Pald $25,000 to enclose the cab and install air conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $1,500. Dec 31 Recorded double-declining balance depreciation on the loader 2017 Jan Paid $40,500 to overhaul the loader's engine, which increased the fooder's estimated useful life by two years Paid $1,000 to repair the londer after the operator backed it into a tree. Dec Recorded double-declining balance depreciation on the loader. Sold the loader for $250,000 cash. 1 Feb. 17 31 31 Dec REQUIRED: Prepare journal entries to record the above transactions and events REQUIRED: Prepare journal entries to record the above transactions and events View transaction list Journal entry worksheet 1 2 3 4 5 6 7 Paid $300,000 cash plus $30,000 in sales tax and $12,500 in transportation (FOB shipping point) for a new loader, which is estimated to have a four-year life and a $25,500 salvage value. Loader costs are recorded in the Equipment account. Note: Enter debits before credits. B D S No/Date Account Title Debit Credit 1 01/01/2016 2 3 4 5 6 Record entry Clear entry View general journal REQUIRED: Prepare journal entries to record the above transactions and events View transaction list Journal entry worksheet 3 5 6 7 Paid $25,000 to enclose the cab and install air conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $1,500. Note: Enter debits before credits. B D S.No/Date Account Title Debit Credit 1 01/03/2016 2 3 4 5 6 Record entry Clear entry View general journal REQUIRED! Prepare Journal entries to record the above transactions and events View transaction list Journal entry worksheet

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