Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help me find the right answer for the ones are wrong. (section 2 and 3 amounts are wrong. account names are correct for all
please help me find the right answer for the ones are wrong. (section 2 and 3 amounts are wrong. account names are correct for all of them and section 1 is correct).
Blossom Corp. sells idle machinery to Cullumber Company on July 1,2025 , for $41,000. Blossom agrees to repurchase this equipment from Cullumber on June 30,2026 , for a price of $43,870 (an imputed interest rate of 7% ). Prepare the journal entry for Blossom for the transfer of the asset to Cullumber on July 1, 2025. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry.) Prepare any other necessary journal entries for Blossom in 2025. (Credit occount titles are automatically indented when the omount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List debit entry before credit entry. Record journal entries in the order presented in the problem.) Prepare the journal entry for Blossom when the machinery is repurchased on June 30,2026 . (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts. List all debit entries before credit entries.) thank you
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started