\begin{tabular}{|l|l|l|l|l|} \hline & & & \\ \hline \end{tabular} \begin{tabular}{|l|l|l|l|l|} \hline 6 & f & Depreciation expense & \\ \hline & & Accumulated depreciation & \\ \hline \end{tabular} Required information [The following information applies to the questions displayed below.] During the current year ending on December 31, BSP Company completed the following transactions: a. On January 1, purchased a patent for $53,100 cash (estimated useful life, nine years). b. On January 1 , purchased another business for $170,000 cash, including $10,000 for goodwill. The assets included accounts receivable with a fair value of $15,000 and property and equipment with a fair value of $145,000 (with a residual value of $15,225 and estimated useful life of 10 years). The company assumed no liabilities. Goodwill has an indefinite life. c. On December 31, constructed a storage shed on land leased from D. Heald. The cost of the shed was $31,600. The company uses straight-line depreciation. The lease will expire in five years. (Amounts spent to enhance leased property are capitalized as intangible assets called Leasehold Improvements.) d. Total expenditures for ordinary repairs were $5,400 during the current year. e. On December 31 of the current year, sold Machine A for $7,700 cash. Original cost was $17,000; accumulated depreciation to December 31 of the prior year was $10,160 (on a straight-line basis with a $4,300 residual value and fiveyear useful life). Record the depreciation expense in transaction e(1) and the sale in transaction e(2). f. On December 31 of the current year, paid $6,400 for a complete reconditioning of Machine B acquired on January 1 of the prior year. Original cost, $66,000; accumulated depreciation to December 31 of the prior year was $3,100 (on a straight-line basis with a $7,100 residual value and 19 -year useful life). 2. For each of these the assets involved in transactions (a) through ( f), record the adjusting entry for depreciation or amortization expense at the end of the current year. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field