Sand Dollars Corporation is the leading roaster and retailer of specialty coffee, with nearly 17,000 company-operated and licensed stores worldwide. Assume that Sand Dollars planned to open a new store on Commonwealth Avenue near Boston University and obtained a 14-year lease starting January 1. The company had to renovate the facility by installing an elevator costing $665,000. Amounts spent to enhance leased property are capitalized as intangible assets called Leasehold Improvements. The elevator will be amortized over the useful life of the lease.

Required:

1. & 2. Prepare the journal entry to record the installation of the new elevator and any adjusting entries required at the end of the annual accounting period on December 31 related to the new elevator. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

View transaction list 1 Record the installation of the new elevator. Record the adjusting entry on December 31 (if necessary), related to the new elevator, 2