1.Tomas Company trades in a printing press for a newer model. The cost of the old printing press was $61,500, and accumulated depreciation up to the date of the trade-in amounts to $38,000. The company also pays $41,200 cash for the newer printing press. The journal entry to acquire the new printing press will require a debit to Equipment for:

A$41,200.

B$61,500.

C$64,700.

D$102,700.

2.Skyline Mine, Inc., acquired a mineral deposit for $12,000,000 in 20X6. Geologists estimate the depositcontains 2,000,000 tons of ore. During 20X6 and 20X7, Skyline Mine, Inc. removed 610,000 tons and 480,000 tons of ore, respectively. The balance in the Accumulated Depletion account for the mineral deposit on December 31, 20X7, will be:

A$2,880,000.

B$5,490,000.

C$6,540,000.

Dunknown; the balance cannot be determined without knowing the residual value of the resource.

3.Tarrier, Inc., has the following PPE accounts: Land, Buildings, and Equipment, with a separate accumulated depreciation account for each of these except land. Tarrier completed the following transactions:

Jan 2 Traded in equipment with accumulated depreciation of 64,000 (cost of 138,000) for similar new equipment with a cash cost of 179,000. Received a trade-in allowance of 73,000 on the old equipment and paid 106,000 in cash.

Jun 30 Sold a building that had a cost of 645,000 and had accumulated depreciation of 155,000 through December 31 of the preceding year. Depreciation is computed on a straight-line basis. The building has a 40-year useful life and a residual value of 285,000. Tarrier received 135,000 cash and a 350,500 note receivable.

Oct 29 Purchased land and a building for a single price of 340,000. An independent appraisal valued the land at 108,900 and the building at 254,100.

Dec 31 Recorded depreciation as follows:

Equipment has an expected useful life of 4 years and an estimated residual value of 4% of cost. Depreciation is computed on the double-declining-balance method.

Depreciation on buildings is computed by the straight-line method. The new building carries a 40-year useful life and a residual value equal to 10% of its cost.

Requirement:

Record the transactions in Tarrier, Inc.'s journal.