The following transactions and adjusting entries were completed by Gravure Graphics International, a paper$-$packaging company. The$1-$b$.$ Which of the following should be capitalized? $($Select all that apply.$)$

Renovation costs

Installation costs

Purchase costs

Repair cost

Depreciation costs

Prepare the journal entry to record depreciation expense at the end of year $1,$ assuming the following: $($If no entry is required for a

transaction$/$event$,$ select $"$No journal entry required" in the first account field.$)$

Journal entry worksheet

company uses straight$-$line depreciation for trucks and other vehicles, double$-$declining$-$balance depreciation for buildings, and

straight$-$line amortization for patents.

January $2,2019$ Paid $$95,800$ cash to purchase storage shed components.

January $3,2019$ Paid $$5,200$ cash to have the storage shed erected; storage shed has an estimated life of ten years

and a residual value of $$12,000.$

April $1,2019$ Paid $$40,200$ 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 $$8,200.$

May $13,2019$ Paid $$270$ cash for repairs to the pickup truck.

July $1,2019$ Paid $$20,200$ 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 $31,2019$ Recorded depreciation and amortization on the pickup truck, storage shed, and patent.

June $30,2020$ Sold the pickup truck for $$34,900$ cash. $($Record the depreciation on the truck prior to recording its

disposal.$)$

December $31,2020$ 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.$)$

Tnirnal entry wnrkehept

Paid $$95,800$ cash to purchase storage shed components.