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The following transactions and adjusting entries were completed by Gravure Graphics International, a paper-packaging company. The company uses straight-line depreciation for trucks and other vehicles,

The following transactions and adjusting entries were completed by Gravure Graphics International, a paper-packaging company. The company uses straight-line depreciation for trucks and other vehicles, double-declining-balance depreciation for buildings, and straight-line amortization for patents.

January 2, 2016 Paid $94,600 cash to purchase storage shed components.
January 3, 2016

Paid $4,900 cash to have the storage shed erected; storage shed has an estimated life of ten years and a residual value of $12,000.

April 1, 2016

Paid $36,900 cash to purchase a pickup truck for use in the business; truck has an estimated useful life of five years and a residual value of $7,900.

May 13, 2016 Paid $240 cash for repairs to the pickup truck.
July 1, 2016

Paid $19,900 cash to purchase patent rights on a new paper bag manufacturing process; patent is estimated to have a remaining useful life of five years.

December 31, 2016

Recorded depreciation and amortization on the pickup truck, storage shed, and patent.

June 30, 2017

Sold the pickup truck for $32,050 cash. (Record the depreciation on the truck prior to recording its disposal.)

December 31, 2017

Recorded depreciation on the storage shed; determined that the patent was impaired and wrote off its remaining book value. (i.e., wrote down the book value to zero.)

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.)

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