Transaction 8

On March 1, fixtures and equipment were purchased for $5,500 with a downpayment of $1,500 and a $4,000 note, payable in one year. Interest of 4.5% per year was due when the note was repaid. The estimated life of the fixtures and equipment is 11 years with no expected salvage value.

[Note: Record the complete March 1 entry for the equipment purchase first, the complete March 31 depreciation adjusting entry second, and the complete March 31 interest adjusting entry third.]

Account: Dollar amount:

Account: Dollar amount:

Account: Dollar amount:

Account: Dollar amount:

Account: Dollar amount:

Account: Dollar amount:

Account: Dollar amount:

Account: Dollar amount:

Question

Transaction 8

On March 1, fixtures and equipment were purchased for $5,500 with a downpayment of $1,500 and a $4,000 note, payable in one year. Interest of 4.5% per year was due when the note was repaid. The estimated life of the fixtures and equipment is 11 years with no expected salvage value.

[Note: Record the complete March 1 entry for the equipment purchase first, the complete March 31 depreciation adjusting entry second, and the complete March 31 interest adjusting entry third.]

Account: Dollar amount:

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Question

Transaction 8 On March 1, fixtures and equipment were purchased for $5,500 with a downpayment of $1,500 and a $4,000 note, payable in one year.

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