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a. Pald $78,000 cash to replace a motor on equipment that extends its useful life by four years. b. Pald $390 cash per truck for
a. Pald $78,000 cash to replace a motor on equipment that extends its useful life by four years. b. Pald $390 cash per truck for the cost of their annual tune-ups. c. Pald $312 for the monthly cost of replacement filters on an alr-conditioning system. d. Completed an addition to a building for $438,750 cash. 1. Classify the above transactions as either a revenue expenditure or a capital expenditure. 2. Prepare the journal entries to record transactions a and d. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Classify the above transactions as either a revenue expenditure or a capital expenditure. Transaction b c d 1. Classify the above transactions as elther a revenue expenditure or a capital expenditure. 2. Prepare the journal entries to record transactions a and d. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the journal entries to record transactions a and d. View transaction list Journal entry worksheet Paid $78,000 cash to replace a motor on equipment that extends its useful life by four years. Note: Enter debits before credits. Transaction General Journal Debit Credit Onslow Co. purchased a used machine for $192,000 cash on January 2 On January 3, Onslow paid $8,000 to wire electricity to the machine and an additional $1,600 to secure it in place. The machine will be used for six years and have a $23,040 salvage value. Straight-line depreciation is used. On December 31, at the end of its fifth year in operations, it is disposed of. Problem 10-6A Part 3 3. Prepare Journal entries to record the machine's disposal under each separate situation: (a) It is sold for $21,500 cash; (b) it is sold for $86,000 cash; and (c) It is destroyed in a fire and the insurance company pays $32,000 cash to settle the loss claim. View transaction list Journal entry worksheet Record the sale of the used machine for $21,500 cash. Note: Enter debits before credits. Date General Journal Debit Credit Dec 31
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