Answered step by step
Verified Expert Solution
Question
1 Approved Answer
heres the transaction list with dates: jan 30 A building that cost $195360 in 2008 is torn down to make room for a new building.
heres the transaction list with dates: jan 30 A building that cost $195360 in 2008 is torn down to make room for a new building. The wrecking contractor was paid $7548 and was permitted to keep all materials salvaged. mar 10 Machinery that was purchased in 2018 for $23680 is sold for $4292 cash, f.o.b purchasers plant. Freight of $444 is paid on the sale of this machinery. mar 20 a gear breaks on a machine that cost $13320 in 2017. the gear is replaced at a cost of $2960. the replacement does not extend the useful life of the machine but does make the machine more efficient. may 18 a special base installed for a machine in 2019 when the machine was purchased has to be replaced at a cost of $8140 because of defective worksmanship on the original base. the cost of the machinery was $21016 in 2019. the base was the cost of $5180, and this amount was charged to the machinery account in 2019 june 23 one of the buildings is repainted at a cost of $10212. it had not been painted since it was constructed in 2021. The following transactions occurred during 2025. Assume that depreciation of 10% per year is charged on all machinery and 5% per year on buildings, on a straight-line basis, with no estimated salvage value. Depreciation is charged for a full year on all fixed assets acquired during the year, and no depreciation is charged on fixed assets disposed of during the year. Prepare general journal entries for the transactions. (Record journal entries in the order presented in the problem. Credit account titles are automatically indented when is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.)
heres the transaction list with dates:
jan 30 A building that cost $195360 in 2008 is torn down to make room for a new building. The wrecking contractor was paid $7548 and was permitted to keep all materials salvaged.
mar 10 Machinery that was purchased in 2018 for $23680 is sold for $4292 cash, f.o.b purchasers plant. Freight of $444 is paid on the sale of this machinery.
mar 20 a gear breaks on a machine that cost $13320 in 2017. the gear is replaced at a cost of $2960. the replacement does not extend the useful life of the machine but does make the machine more efficient.
may 18 a special base installed for a machine in 2019 when the machine was purchased has to be replaced at a cost of $8140 because of defective worksmanship on the original base. the cost of the machinery was $21016 in 2019. the base was the cost of $5180, and this amount was charged to the machinery account in 2019
june 23 one of the buildings is repainted at a cost of $10212. it had not been painted since it was constructed in 2021.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started