Jan 1 Traded in motor-carrier equipment with accumulated depreciation of $85,000 (cost of Jul 1 Oct 31 Dec 31 $130,000) for new equipment with a cash cost of $177,000. Howard Freightway received a trade-in allowance of $62,000 on the old equipment and paid the remainder in cash. Sold a building that cost $540,000 and had accumulated depreciation of $240,000 through December 31 of the preceding year. Depreciation is computed on a straight-line basis. The building has a 40-year useful life and a residual value of $60,000. Howard Freightway received $110,000 cash and a $360,000 note receivable. Purchased land and a building for a cash payment of $340,000. An independent appraisal valued the land at $89,760 and the building at $318,240. Recorded depreciation as follows: New motor-carrier equipment has an expected useful life of 1,000,000 miles and an estimated residual value of $17,000. Depreciation method is the units-of-production method. During the year, Howard Freightway drove the equipment 130,000 miles. Depreciation on buildings is straight-line. The new building has a 40-year useful life and a residual value equal to $30,000. wward Freightway provides freight service. The company's balance sheet includes Land, Buildings, and tor-carrier equipment. Howard Freightway uses a separate accumulated depreciation account for each preciable asset. During 2018, Howard Freightway completed the following transactions Click the icon to view transaction data) Requirement 1. Record the transactions in Howard Freightway's journal (Record debits first, then cre Exclude explanations from all journal entries.) Jan 1: Traded in motor-camor equipment with accumulated depreciation of $85,000 (cost of $130,000) for similar new equipment with a cash cost of $177,000. Howard Freightway received a trade-in allowa $62.000 on the old equipment and paid the remainder in cash. (Prepare a compound journal entry to record this transaction.) Date Jun 1 Journal Entry Accounts Debit Credit Accumulated depreciation, building Accumulated depreciation, motor-carrier equipment Building qu se Cash Depreciation expense, building Depreciation expense, motor-carrier equipment Finishing equipment d in the c Gain on exchange Gain on sale of building ilding bunt f $130,00 entry to Del Depreciation expense, building Depreciation expense, motor-carrier equipment Finishing equipment Gain on exchange Gain on sale of building Land Loss on sale of building , Motor-carrier equipment (new) in $13 enti Motor-carrier equipment (old) Note receivable 1 Soda bulding that cost $540,000 and had accumulated depreciation of 1240,000 through December 31 of the preceding year. Depreciation is computed on a sights The ingr fe and a residual value of $60,000. Howard Freightway received $110,000 cash and a $360.000 ne recevable Start by recording depreciation experne on the building through July 1 Date Journal Entry Accounts Debit Credit Now record the sale of the building Date Jul 1 Journal Entry Accounts Debit Credit Sangram and is STOm dit journal entries) Oct 31 Purchased land and a building for a cash payment of $340,000 An independent appraisal valued the land at $80,760 and the building at $318,240 (Do not round intermediary calculations Orly roundthe amounts you input into the journal entry table to the nearest dollar) Date Journal Entry Accounts Debit Credit Time Remaining: 05.05.33 Dec 31: Recorded depreciation on the equipment. New motor-carrier equipment has an expected useful life of 1,000,000 miles and an estimated residual value of $17,000 Depreciation method is the units-of-production method. During the year, Howard Freightway drove the equipment 130,000 miles (Round depreciation per unit to the nearest cent) Date Dec 31 Journal Entry Accounts Debit Credit Dec 31 Depreciation on buildings is straight-tine. The new building has a 40-year useful life and a residual value equal to $30,000. (Do not round intermadury calculations. Only round the amounts you input int the journal entry table to the nearest dollar) Date Dec 31 Journal Entry Accounts Debit Credit