Capital Expenditure and Depreciation

Willow Creek Company purchased and installed carpet in its new general offices on April 30 for a total cost of $18,000. The carpet is estimated to have a 15-year useful life and no residual value.

a. Prepare the journal entry necessary for recording the purchase of the new carpet. If an amount box does not require an entry, leave it blank.

Apr. 30		fill in the blank 08484c015046fc2_2	fill in the blank 08484c015046fc2_3
		fill in the blank 08484c015046fc2_5	fill in the blank 08484c015046fc2_6

b. Record the December 31 adjusting entry for the partial-year depreciation expense for the carpet, assuming that Willow Creek uses the straight-line method. Do not round intermediate calculations. If an amount box does not require an entry, leave it blank.

Dec. 31		fill in the blank 5e90f3036fc3032_2	fill in the blank 5e90f3036fc3032_3
		fill in the blank 5e90f3036fc3032_5	fill in the blank 5e90f3036fc3032_6