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At January 1, 2025, Crane Company reported the following property, plant, and equipment accounts: The company uses straight-line depreciation for buildings and equipment, its year-end

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At January 1, 2025, Crane Company reported the following property, plant, and equipment accounts: The company uses straight-line depreciation for buildings and equipment, its year-end is December 31 , and it makes adjusting entries annually. The buildings are estimated to have a 40 -year useful life and no salvage value; the equipment is estimated to have a 10 -year useful life and no salvage value. During 2025, the following selected transactions occurred: Apr.1 Purchased land for $4.90 million. Paid $1.225 million cash and issued a 3-year, 6% note payable for the balance. Interest. on the note is payable annually each April 1 May 1 Sold equipment for $230,000 cash. The equipment cost $3.78 million when originally purchased on January 1,2017 June 1 Sold land for $372 million. Recelved $870,000 cash and accepted a 3 -year, 5% note for the balance. The land cost $1.60 million when purchased on June 1,2019. Interest on the note is due annually each June 1. July 1 Purchased equipment for $2.20 million cash Dec, 31 Retired equipment that cost $1 million when purchased on December 31, 2015. No proceeds were recelved. Journalize the above transactions. (Hint You may wish to set up T-accounts, post beginning balances, and then post 2025 transactions.) (List all debit entries before credit entries. 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. Round answers to 0 decimal places, e.g. 5,125.) (To record sale of equipment) Record any adjusting entries for depreciation required at December 31. (List debit entry before credit entry. Credit account titles are automatically indented when the amount is entered. Do not indent manuolly. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Prepare the property, plant, and equipment section of the company's balance sheet at December 31. (List Property, Plant, and Equipment in order of Land, Buildings and Equipment.)

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