At the beginning of its first fiscal quarter, Caribou Coffee signed a five-year lease for retail space in the Ithaca Mall. Before opening the space, Caribou made various leasehold improvements, one of which was to build a new coffee counter where customers can watch baristas make their espresso drinks. The cost to build the coffee counter was $12,500, which Caribou paid for with cash. The counter is expected to provide benefits for the duration of the lease. Caribou depreciates equipment on a quarterly basis using the straight-line method of depreciation. Prepare the journal entry to record the depreciation of the coffee counter at the end of the first quarter. Assume that Caribou takes a full quarter of depreciation during the first quarter. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) X Answer is not complete. No Transaction General Journal Debit Credit 1 a. Depreciation expense Cash