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The following transactions and adjusting entries were completed by Legacy Furniture Co . during a 3 - year period. All are related to the use

The following transactions and adjusting entries were completed by Legacy Furniture Co. during a 3-year period.
All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used.
Year 1
Jan. 4. Purchased a used delivery truck for $27,200, paying cash.
Nov. 2. Paid garage $630 for miscellaneous repairs to the truck.
Dec. 31. Recorded depreciation on the truck for the year. The estimated useful life of the truck is 4 years, with
a residual value of $5,005 for the truck.
Year 2
Jan. 6. Purchased a new truck for $49,250, paying cash.
Apr. 1. Sold the used truck for $14,670.(Record depreciation to date in Year 2 for the truck.)
June 11. Paid garage $450 for miscellaneous repairs to the truck.
Dec. 31. Record depreciation for the new truck. It has an estimated residual value of $8,950 and an estimated
life of 5 years.
Year 3
July 1. Purchased a new truck for $53,920, paying cash.
Oct. 2. Sold the truck purchased January 6, Year 2, for $17,125.(Record depreciation to date for Year 3 for the truck.)
Dec. 31. Recorded depreciation on the remaining truck. It has an estimated residual value of $12,945 and an
estimated useful life of 8 years.
Required:
Journalize the transactions and the adjusting entries.

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