# 4 Required: Journalize the following transactions for the Suchuck Ladder Company: July 1st - Purchased Land, Building and Equipment for $1,200,000 by paying $200,000 cash and signing a 1 year promissory note at 8% for the balance. An appraisal showed the market value of the Land as $560,000, the building as $490,000, and the equipment as $350,000. JE Review Case July 151 - Paid the following costs relating to the purchase: $4,000 to transfer title of the land to their name $3,000 for attachments to the equipment to make it operational December 31st - Recorded depreciation on the Building and equipment. The Building is depreciated using the straight line method and is estimated to have a useful life of 20 years with a residual value of $40,000 at that time. The Equipment is depreciated using the straight line method and is estimated to have a useful life of 5 years with a residual value of $50,000 at that time. December 31st - Recorded interest on the note payable. April 1st (following year) - Sold the equipment for $225,000 cash. JE Review Case July 1st (following year) - Paid the promissory note in full