A Company purchased a on bus on November 1 for $44,000, paying $14,000 cash and signing a 4%, two-month note for the remaining balance, interest to be paid at maturity. The bus is expected to have a 11-year useful life. The Company prepares monthly financial statements.

Instructions

a) Prepare any adjusting journal entries that should be made on November 30.

b) Show how the bus will be reflected on the company's balance sheet on November 30.