3. Identify which financial statement you would find the following accaunts: a. Land b. yrieht c Gain on Disposal Clicker Assignment: Ch. 7 Clicker questions will be asked in class based on your completion of this preparation guide. Example in class question: What is the answer to Question 2? You will not have time to complete this guide in class! d. Loss on Disposal Cole Productions purchases a delivery truck. The total cash payments were as follows: 1. e. Depreclation Expense f Accumulated Depreciation 30,000 Install hydraulic lift 200 Annual insurance 600 Sales Tax Purchase price 1,500 Annual license 600 Painting and lettering 2,200 4 Warner Inc. purchased a patent for a new medicine on July 1, 2018 for $300,000. If the patent has a useful life of 20 years, what is the amount of amortization expense Warner will record for the patent as of December 31, What is the cost of the delivery truck that will be recorded on the balance sheet? 20187 The following equipment was purchased January 1, 2018. 2. Initial Cost $50,000 5 years $5,000 Expected Useful Life Expected Salvage Value a. Record depreciation expense for 2018 using the straight-line method. Assets Stockholders' Equity Liabilities What is the book value of the equipment at December 31, 2018 after depreciation has been recorded? b. The equipment sold for $40,000 on June 30, 2019. What is the book value of the equipment on the date of sale? (Hint: Need to record depreciation expense to the date of sale. c. d. Record the sale of the equipment from (c) above. What is the gain or loss on sale? Llablitles Stockholders' Equity Assets