Brown Company paid cash to purchase the assets of Coffee Company on January 1, 2019. Information is as follows:
		Total cash paid					$2,990,000
		Assets acquired:
		Land					$600,000
		Building					$600,000
		Machinery					$500,000
		Patents					$600,000
	The building is depreciated using the double-declining balance method. Other information is:
		Salvage value					$60,000
		Estimated useful life in years					30
	The machinery is depreciated using the units-of-production method. Other information is:
		Salvage value, percentage of cost					10%
		Estimated total production output in units					400,000
		Actual production in units was as follows:
			2019				40,000
			2020				80,000
			2021				120,000
	The patents are amortized on a straight-line basis. They have no salvage value.
		Estimated useful life of patents in years					20
		On December 31, 2020, the value of the patents was estimated to be					$900,000
	Where applicable, the company uses the year rule to calculate depreciation and amortization expense in the years of acquisition and disposal. Its fiscal year-end is December 31.
	The machinery was traded on December 2, 2021 for new machinery. Other information is:
		Fair value of old machinery					$240,000
		Trade-in allowance					$336,000
		List price for new machinery					$504,000
		Estimated useful life of new machinery in years					20
		Estimated salvage value of new machinery					$15,120
	The new machinery if depreciated using the stright-line method and year rule.
	On August 14, 2023, an addition was made. This amount was material. Other relevant information is as follows:
		Amount of addition, paid in cash					$100,000
		Number of years of useful life from 2023 (original machinery and addition):
							20
		Salvage value, percentage of addition					10%
	Required: Prepare journal entries to record:
	1	The purchase of the assets of Coffee.
	2	Depreciation and amortization expense on the purchased assets for 2019.
	3	The decline (if any) in value of the patents at December 31, 2020.
	4	The trade-in of the old machinery and purchase of the new machinery.
	5	Depreciation on the new machinery for 2021.
	6	Cost of the addition to the machinery on August 14, 2023.
	7	Depreciation on the new machinery for 2023.