Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

pls answer question 1 and 2 Larkspur Corporation traded a used truck (cost $30.000, accumulated depreciation $ 27.000) for a small computer with a fair

pls answer question 1 and 2
image text in transcribed
image text in transcribed
Larkspur Corporation traded a used truck (cost $30.000, accumulated depreciation $ 27.000) for a small computer with a fair value of $4,950. Larkspur also paid $ 750 in the transaction Prepare the journal entry to record the exchange, assuming the exchange lacks commercial substance. (Credit account titles are automatically indented when amount is entered Do not indent manually. If no entry is required, select "No Entry for the account titles and enter for the amounts.) Account Titles and Explanation Debit Credit Pearl Corporation owns machinery that cost $23,600 when purchased on July 1, 2017. Depreciation has been recorded at a rate of $2,832 per year, resulting in a balance in accumulated depreciation of $9,912 at December 31, 2020. The machinery is sold on September 1, 2021, for $12,390. Prepare journal entries to (a) update depreciation for 2021 and (b) record the sale. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and enter o for the amounts.) No. Account Titles and Explanation Debit Credit ) (a) (b) b

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Ethics A Practical Approach

Authors: Howard J Levine

1st Edition

0692112898, 9780692112892

More Books

Students also viewed these Accounting questions

Question

What is vapor pressure? How is it related to saturation pressure?

Answered: 1 week ago

Question

Distinguish between apperception and perception.

Answered: 1 week ago