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Morgan Ltd., an equipment dealer, sells equipment on August 1, 2019, to Lane Construction for $100,000 (cash sale). At the same time, both companies
Morgan Ltd., an equipment dealer, sells equipment on August 1, 2019, to Lane Construction for $100,000 (cash sale). At the same time, both companies agree that Morgan Ltd will repurchase this equipment from Lane Construction on June 30, 2020, for a price of $111,000 (cash repurchase). Required: Prepare journal entries for Morgan Ltd. on three dates: August 1, 2019, December 31, 2019, and June 30, 2020. [5 marks]
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August 1 2019 Cash 100000 Equipment Sales 100000 To record the cash sale of equipment to Lane ...
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College Accounting A Contemporary Approach
Authors: David Haddock, John Price, Michael Farina
4th edition
978-1259995057, 1259995054, 978-0077503987, 77503988, 978-0077639730
