PA9-4 (Static) Recording Transactions and Adjustments for Tangible and Intangible Assets [LO 91, LO 9 . 2, LO 9-3, LO 9-4, LO 9-5, LO 9-6] The following transactions and adjusting entries were completed by a paper-packaging company called Gravure Graphics International. The company uses stralght-line depreclation for trucks and other vehicles, double-declining-balance depreciation for buildings, and straight-line amortization for patents. January 2 , 2020 pald $95,000 camb to purchase etorage shed conponenta. January 3, 2020 Paid $5,000 cash to have the ntorage shed erected. The storage ahed has an eatimated 11 fe of 10 years and a readual value of 516,000 . Apri1 1, 2020 paid $38,000 oash to purchase a pickup truck tor use in the busineas. The truek han an estinated veeful lite of tive yeara and a reaidual value of 56,006 . This vehiele ia to be reeorded In the Truek sccount. May 13, 2020 pald $250 eash for misoe repalrs to the plekup truek'a upholetery. July 1 , 2020 Paid $20,000 eath to purehase patent righta on a new paper bag nanutaoturing procesa, The pacent is estimated to have a remaining aseful life of five yeare. Decenber 31, 2020 kecorded depreciation and aimortization on the piekup truek, atorage ahed, and patent. June 30, 2021 Sold the pickup truek for $33,000 cash. (Record the depreciation on the truck prior to recording ita dieposal, Decenber 31, 2021 Recorded depreointion on the storage sbed. Hecordec the patent anortiation. After recording Ehe patent anortization. deternised that the patest wan impaired and wrote off ita resaining book value (1ie., wrote down the book value to zero). Required: Prepare the joumal 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.) Required: Trepare the journal entries required on each of the above dates. (If no entry is required for a transa Entry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet (1) (2) 3 5 7812 Record the depreciation and amortization expense on the pickup truck, storage shed and patent for the year. Note: Enter debits before credits. Required: Prepare the journal entries required on each of the above dates. (If no entry is required for a transacti Entry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet Record the depreciation for the truck up to the date of sale. Note: Enter debits before credits. equired: repare the journal entries required on each of the above dates. (If no entry is required for a transaction, ntry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet Required: Prepare the journal entries required on each of the above dates. (If no entry is required for a transaction/even Entry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet (1) (4) (5) 6 ( 7 8 \begin{tabular}{l|ll} 9 & & 12 \end{tabular} Record the depreciation on the storage shed for the year. Note: Enter debits before credits. Required: Prepare the journal entries required on each of the above dates. (If no entry is required for a transaction/ev Entry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet (1) ,5 6 6 6 88912 Record the Patent Amortization expense for the full year. Note: Enter debits before credits. Required: Prepare the journal entries required on each of the above dates. (If no entry is required for a transaction/e Entry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet Record the reversal of the accumulated amortization of patents. Note: Enter debits before credits. Required: Prepare the journal entries required on each of the above dates. (If no entry is required for a transaction Entry Required" in the first account field. Do not round intermediate calculations.) Journal entry worksheet (1) ,5678910 Record any impairment loss incurred on the patent. Note: Enter debits before credits
