Sheffield Company paid $8,000 to purchase equipment on January 1, 2024. Sheffield Company has a December 31 fiscal year end and uses straight-line depreciation. The company estimates the equipment will have a 4-year useful life.

(a) Prepare the journal entry to record the purchase of the equipment on January 1, 2024. (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 0 for the amounts. List debit entry before credit entry.)

(b) Prepare the adjusting entries required on December 31, 2024 and 2025. (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 0 for the amounts. List all debit entries before credit entries.)

(ch1) Show the balance sheet presentation of the equipment at December 31, 2024 and 2025.

F Your answer is partially correct. Show the balance sheet presentation of the equipment at December 31, 2024 and 2025