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i need this answer please its a big question x Depreciation is usually recorded: 0/1 From the beginning of the accounting year in which an
i need this answer please its a big question
x Depreciation is usually recorded: 0/1 From the beginning of the accounting year in which an asset is purchased. O From the actual date of purchase. From the first of the month nearest the actual purchase date. From the end of the month nearest the X actual purchase date. O By any of the above methods. arses 12 points Prepare journal entries to record the following transactions of Salem Sales Co. during the current year: (6 marks) Mar. 1: Purchased a truck for $30,000 with a 5 year useful life and a $5,000 residual value. Salem also paid a 6% provincial sales tax, a $350 annual truck license, $500 to paint the truck with the company's colors and name, and $1,500 for spare parts. All payments were in cash. May 10: June 1: Purchased a garage from a neighboring business with a 10%, 4 year, $19,000 note. The seller's book value for the garage was $42,750 and the garage was appraisod at $55,575. The estimated useful life is 10 years. Salem also paid a $2,940 real estate commission. Paid $350 cash to replace garage windows broken during a wind storm Purchased used office equipment for $11,000 plus provincial sales tax of S670, terms 2/10, 1/30 from Great West Office Supplies. As well, Salem paid freight costs of $100 and reconditioning costs of $900, which were paid in casa. Estimated useful life is 3 years and residual value is $500 Aug. 25: Sept. 5: Paid for the office equipment purchased on August 25. Oct : Purchased store quiet for $24,500 plus $1470 provincial sales tax As well, Salem paid $550 for repairs incurred from an accident during installation, $3200 for a special tase for the equipment, and $2.600 for supplies to be used for regular preventive maintenance Estimated useful life is 8 years and residual value is $1,200Step by Step Solution
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