Accounting Problem

List of Accounts

• Accumulated Deprecation Equipment
• Cash
• Gain on Disposal of Equipment
• Loss on Disposal of Equipment
• Equipment
• Repairs and Maintenance Expense
• Land
• Gain on Disposal of Land
• Loss on Disposal of Land

Question 6 Information

The property, plant, and equipment accounts for Riverbed Company held the following opening balances on January 1, 2020 (the first day of Riverbed's fiscal year): Land $649.000 Equipment 802,000 Accumulated Depreciation-Equipment 114,000 Machinery 460.000 Accumulated Depreciation-Machinery 163,000 The following transactions took place during 2020 (assume all transactions took place on January 1): Riverbed Company paid $19,400 related to the machinery and $8,000 related to the equipment for maintenance to keep a. the assets in normal working order. b. Equipment with an original cost of $41,300 and accumulated depreciation of $30,700 was traded in on some new equipment. The new equipment had a fair value of $54,300, and Riverbed was given a trade in allowance of $4,500 for the old equipment. C. Riverbed Company made an agreement with GRN Ltd. to exchange two similar plots of land. Riverbed's land had an original cost of $649,000 and a fair value of $767,000. GRN's land had an original cost of $678,200 and a fair value of $810,400. Riverbed also paid $43,400 in cash to GRN as part of the transaction. The exchange lacks commercial substance. d. Riverbed paid $70,700 on a major upgrade to some of the equipment that significantly increased the economic life of the equipment.Prepare the journal entries to record the above transactions on the books of Riverbed Company. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) No. Account Titles and Explanation Debit Credit b. C. d