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I need help with entries 6-10 please! The following transactions and adjusting entries were completed by a paper-packaging company called Gravure Graphics International during 2015
I need help with entries 6-10 please!
The following transactions and adjusting entries were completed by a paper-packaging company called Gravure Graphics International during 2015 and 2016. The company uses straight-line depreciation for trucks and other vehicles, double-declining-balance depreciation for buildings, and straight-line amortization for patents. January January 2, 2015 Paid $88,000 cash to purchase storage shed components. 3, 2015Paid $4,000 cash to have the storage shed erected. The storage shed has an estimated life of 10 years and a residual value of $7,000. Paid $31,000 cash to purchase a pickup truck for use in the business. The truck has an estimated useful life of five years and a residual value of $5,000 Paid $300 cash for repairs to the pickup truck. Paid $27,000 cash to purchase patent rights on a new paper bag manufacturing process. The patent is estimated to have a remaining useful life of five years Recorded depreciation and amortization on the pickup truck, storage shed, and patent. Sold the pickup truck for $26,000 cash. (Record the depreciation on the truck prior to recording its disposal.) Recorded depreciation on the storage shed. Determined that the patent was impaired and wrote off its remaining book value (i.e., wrote down the book value to zero) April 1, 2015 May13, 2015 July 1, 2015 December 31, 2015 June 30, 2016 December 31, 2016 Required: Prepare the journal entries required on each of the above dates. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field. Do not round intermediate calculations.) 6 d the deprec pickup truck, storage shed and patent for the year. 7Record the depreciation for the truck up to the date of 8 Record the sale of the pickup truck for $26,000 cash. 9 Record the depreciation on the storage shed for the year. Record any impairment loss incurred on the patent. sale. 10 Notejournal entry has been entered December 31, 2015 Depreciation Expense Amortization Expense 7 June 30, 2016 Depreciation Expense Accumulated Depreciation-Equipment 8 June 30, 2016 Cash 26,000 Accumulated Depreciation^quipment Equipment Gain on Disposal December 31, 2016 Depreciation Expense Accumulated Depreciation--Building December 31, 2016 10 'Impairment Loss Accumulated Amortization-Patent PatentStep by Step Solution
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