1) Prepare journal entries for the following transactions. Explanations are not required. (15%)

2013

Jan. 1 Purchased a building for $84,000 cash, $4,000 residual value, 20-year

expected life, double-declining-balance amortization.

May 1 Purchased equipment for $25,000 cash, $3,000 residual value, 10-year

expected life, straight-line amortization.

Dec. 31 Recorded amortization on the building and equipment.

2014

June 30 Sold the equipment for $21,000 cash. (Record amortization to date for

2014 before selling equipment.)

Dec. 31 Recorded amortization on the building

PS: Please do not provide the answer in the hand-written format on Chegg. Word or excel is ok. Thank You