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The plant asset and accumulated depreciation accounts of Pell Corporation had the following balances at December 31, 2017: Plant Asset. Accumulated. Depreciation Land $ 350,000
The plant asset and accumulated depreciation accounts of Pell Corporation had the following balances at December 31, 2017:
Plant Asset. Accumulated. Depreciation
Land $ 350,000 $
Land improvements 180,000 45,000
Building 1,500,000 350,000
Machinery and equipment 1,158,000 405,000
Automobiles 150,000 112,000
Transactions during 2018 were as follows:
- On January 2, 2018, machinery and equipment were purchased at a total invoice cost of $260,000, which included a $5,500 charge for freight. Installation costs of $27,000 were incurred.
- On March 31, 2018, a small storage building was donated to the company. The person donating the building originally purchased it three years ago for $25,000. The fair value of the building on the day of the donation was $17,000.
- On May 1, 2018, expenditures of $50,000 were made to repave parking lots at Pell's plant location. The work was necessitated by damage caused by severe winter weather.
- On November 1, 2018, Pell acquired a tract of land with an existing building in exchange for 10,000 shares of Pell's common stock that had a market price of $38 per share. Pell paid legal fees and title insurance totaling $23,000. Shortly after acquisition, the building was razed at a cost of $35,000 in anticipation of new building construction in 2019.
- On December 31, 2018, Pell purchased a small storage building by giving $15,250 cash and an old automobile purchased for $18,000 in 2014. Depreciation on the old automobile recorded through December 31, 2018, totaled $13,500. The fair value of the old automobile was $3,750.
Required:
how do I make a schedule analyzing the changes in each of the plant assets during 2018, with detailed supporting computations.
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