Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

this one part still giving me trouble. Green is whats right, red is whats wrong. pls help. also delivery of truck isn't an option Exercise

image text in transcribedthis one part still giving me trouble. Green is whats right, red is whats wrong. pls help. also delivery of truck isn't an option

Exercise 11-11 (Algo) Disposal of property, plant, and equipment; partial periods (LO11-2] On July 1, 2016, Farm Fresh Industries purchased a specialized delivery truck for $219,000. At the time, Farm Fresh estimated the truck to have a useful life of eight years and a residual value of $27,000. On March 1, 2021, the truck was sold for $88,000. Farm Fresh uses the straight-line depreciation method for all of its plant and equipment. Partial-year depreciation is calculated based on the number of months the asset is in service. Required: 1. Prepare the journal entry to update depreciation in 2021. 2. Prepare the journal entry to record the sale of the truck. 3. Assuming that the truck was instead sold for $125,000, prepare the journal entry to record the sale. & Answer is not complete. Complete this question by entering your answers in the tabs below. Reg 1 and 2 Req 3 Assuming that the truck was instead sold for $125,000, prepare the journal entry to record the sale. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) No Event General Journal Debit Credit 1 1 88,000 112,000 Cash Accumulated depreciation Truck Gain on sale of truck Loss on sale of truck 219,000 88,000 19,000 x

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Artificial Intelligence In Accounting Organisational And Ethical Implications

Authors: Othmar M. Lehner, Carina Knoll

1st Edition

1032055626, 9781032055626

More Books

Students also viewed these Accounting questions