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Please complete entries 6-9 and show the work. I got 1-5 and I am unsure how to do the rest! Thank you! The following transactions
Please complete entries 6-9 and show the work. I got 1-5 and I am unsure how to do the rest! Thank you!
The following transactions and adjusting entries were completed by a local delivery company called Fast Delivery. The company uses straight-line depreciation for delivery vehicles, double-declining-balance depreciation for buildings, and straight-line amortization for franchise rights. 2018 January 2 Paid $176,000 cash to purchase a small warehouse building near the airport. The building has an estimated life of 20 years and a residual value of $3,400. July 1 Paid $44,000 cash to purchase a delivery van. The van has an estimated useful life of five years and a residual value of $8,800. October 2 Paid $400 cash to paint a small office in the warehouse building. October 13 Paid $250 cash to get the oil changed in the delivery van. December 1 Paid $88,500 cash to UPS to begin operating Fast Delivery business as a franchise using the name The UPS Store. This franchise right expires in five years. December 31 Recorded depreciation and amortization on the delivery van, warehouse building, and franchise right. 2019 June 30 Sold the warehouse building for $141,000 cash. (Record the depreciation on the building prior to recording its disposal.) December 31 Recorded depreciation on the delivery van and amortization on the franchise right. Determined that the franchise right was not impaired in value. 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.) View transaction list View journal entry worksheet Debit Credit 176,000 176,000 5 Record the franchise rights purchased for $88,500 to allow for the operation of a fast delivery business. 44,000 44.000 6 Record the depreciation and amortization expenses on the delivery van, warehouse building, and franchise rights for the year 2018. 400 7 Record the depreciation of the warehouse building up to the date of sale in 2019. 250 8 Record the sale of the warehouse building for $141,000 cash. 88,500 9 Record the depreciation and amortization expenses on the delivery van and franchise rights for the year 2019. 88,500 Note : = journal entry has been entered nense 1.475 Amortization Expense Accumulated Depreciation Buildings Accumulated Depreciation Equipment Accumulated AmortizationStep by Step Solution
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