Transactions for Fixed Assets, Including Sale The following transactions, adjusting entries, and closing entries were completed by King Furniture Co during a three year period All are related to the use of delivery equipment The double declining balance method of depreciation is used 2012 Jan 4 Purchased a used delivery truck for $38,400, paying cash Feb 24 Paid garage $140 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck Dec 31 Recorded depreciation on the truck for the fiscal year The estimated useful life of the truck is 8 years, with a residual value of $8,100 for the truck 2013 Jan 3 Purchased a new truck for $44,100, paying cash Mar 7 Paid garage $340 to tune the engine and make other minor repairs on the used truck Apr 30 Sold the used truck for $25,300 (Record depreciation to date in 2013 for the truck ) Dec 31 Record depreciation for the new truck It has an estimated trade in value of $7,900 and an estimated life of 7 years 2014 July 1 Purchased a new truck for $79,000, paying cash Oct 7 Sold the truck purchased January 3, 2013, for $26,050 (Record depreciation to date in 2014 for the truck ) Dec 31 Recorded depreciation on the remaining truck It has an estimated residual value of $14,200 and an estimated useful life of 10 years Required Firefox File Edit View History Bookmarks Tools Window Help G (9 100 CI, Sun 9 49 PM 38,400 2013 Jan 3 4,100 4,100 Apr 30 Sale Dec 31 2014 July 1 Oct 7 Deprec Deprecartikn Oc 7 Sale 25

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Transactions for Fixed Assets, Including Sale The following transactions, adjusting entries, and closing entries were completed by King Furniture Co. during a three-year period. All

Transactions for Fixed Assets, Including Sale

The following transactions, adjusting entries, and closing entries were completed by King Furniture Co. during a three-year period. All are related to the use of delivery equipment. The double-declining-balance method of depreciation is used.

2012
Jan. 4.	Purchased a used delivery truck for $38,400, paying cash.
Feb. 24.	Paid garage $140 for changing the oil, replacing the oil filter, and tuning the engine on the delivery truck.
Dec. 31.	Recorded depreciation on the truck for the fiscal year. The estimated useful life of the truck is 8 years, with a residual value of $8,100 for the truck.
2013
Jan. 3.	Purchased a new truck for $44,100, paying cash.
Mar. 7.	Paid garage $340 to tune the engine and make other minor repairs on the used truck.
Apr. 30.	Sold the used truck for $25,300. (Record depreciation to date in 2013 for the truck.)
Dec. 31.	Record depreciation for the new truck. It has an estimated trade-in value of $7,900 and an estimated life of 7 years.
2014
July 1.	Purchased a new truck for $79,000, paying cash.
Oct. 7.	Sold the truck purchased January 3, 2013, for $26,050. (Record depreciation to date in 2014 for the truck.)
Dec. 31.	Recorded depreciation on the remaining truck. It has an estimated residual value of $14,200 and an estimated useful life of 10 years.

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Firefox File Edit View History Bookmarks Tools Window Help G (9 100% CI, Sun 9:49 PM 38,400 2013 Jan. 3 4,100 4,100 Apr. 30-Sale Dec. 31 2014 July 1 Oct.7-Deprec.Deprecartikn Oc. 7-Sale 25