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Aiken Company owns a truck that was purchased 4 years ago. The company spent $4,000 to replace the transmission which will extend the useful life
Aiken Company owns a truck that was purchased 4 years ago. The company spent $4,000 to replace the transmission which will extend the useful life by 2 years. Which of the following choices represents the journal entry necessary to record this transaction? |
Assets | = | Liab. | + | Equity | Rev. | Exp. | = | Net Inc. | Cash Flow | ||||||||
Cash | + | Truck | Acc. Dep. | ||||||||||||||
(4,000) | + | n/a | n/a | = | n/a | + | (4,000) | n/a | 4,000 | = | (4,000) | (4,000) OA |
Assets | = | Liab. | + | Equity | Rev. | Exp. | = | Net Inc. | Cash Flow | ||||||||
Cash | + | Truck | Acc. Dep. | ||||||||||||||
(4,000) | + | 4,000 | n/a | = | n/a | + | n/a | n/a | n/a | = | n/a | (4,000) IA |
Assets | = | Liab. | + | Equity | Rev. | Exp. | = | Net Inc. | Cash Flow | ||||||||
Cash | + | Truck | Acc. Dep. | ||||||||||||||
(4,000) | + | n/a | (4,000) | = | n/a | + | n/a | n/a | n/a | = | n/a | (4,000) IA |
Assets | = | Liab. | + | Equity | Rev. | Exp. | = | Net Inc. | Cash Flow | ||||||||
Cash | + | Truck | Acc. Dep. | ||||||||||||||
(4,000) | + | n/a | n/a | = | n/a | + | (4,000) | n/a | 4,000 | = | (4,000) | (4,000) IA |
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