Transactions for Fixed Assets, Including Sale

The following transactions and adjusting entries were completed by Legacy 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.

Year 1
Jan. 4	Purchased a used delivery truck for $15,360, paying cash.
Nov. 2	Paid garage $240 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 $3,200 for the truck.
Year 2
Jan. 6	Purchased a new truck for $9,000, paying cash.
Apr. 1	Sold the used truck purchased on January 4 of Year 1 for $6,270. (Record depreciation to date in Year 2 for the truck.)
June 11	Paid garage $350 for miscellaneous repairs to the truck.
Dec. 31	Record depreciation for the new truck. It has an estimated residual value of $1,600 and an estimated life of 5 years.
Year 3
July 1	Purchased a new truck for $78,000, paying cash.
Oct. 2	Sold the truck purchased January 6, Year 2, for $3,480. (Record depreciation to date for Year 3 for the truck.)
Dec. 31	Recorded depreciation on the remaining truck purchased on July 1. It has an estimated residual value of $14,000 and an estimated useful life of eight years.

Required:

Journalize the transactions and the adjusting entries. If an amount box does not require an entry, leave it blank. Do not round intermediate calculations. Round your final answers to the nearest cent.

Year 1 Jan. 4	Delivery Truck	fill in the blank 2	fill in the blank 3
	Cash	fill in the blank 5	fill in the blank 6
Nov. 2	Truck Repair Expense	fill in the blank 8	fill in the blank 9
	Cash	fill in the blank 11	fill in the blank 12
Dec. 31	Depreciation Expense-Delivery Truck	fill in the blank 14	fill in the blank 15
	Accumulated Depreciation-Delivery Truck	fill in the blank 17	fill in the blank 18
Year 2 Jan. 6	Delivery Truck	fill in the blank 20	fill in the blank 21
	Cash	fill in the blank 23	fill in the blank 24
Apr. 1-Deprec.	Depreciation Expense-Delivery Truck	fill in the blank 26	fill in the blank 27
	Accumulated Depreciation-Delivery Truck	fill in the blank 29	fill in the blank 30
Apr. 1-Sale	Accumulated Depreciation-Delivery Truck	fill in the blank 32	fill in the blank 33
	Depreciation Expense-Delivery Truck	fill in the blank 35	fill in the blank 36
	Gain on Sale of Delivery Truck	fill in the blank 38	fill in the blank 39
	Cash	fill in the blank 41	fill in the blank 42
June 11	Truck Repair Expense	fill in the blank 44	fill in the blank 45
	Cash	fill in the blank 47	fill in the blank 48
Dec. 31	Depreciation Expense-Delivery Truck	fill in the blank 50	fill in the blank 51
	Accumulated Depreciation-Delivery Truck	fill in the blank 53	fill in the blank 54
Year 3 July 1	Delivery Truck	fill in the blank 56	fill in the blank 57
	Cash	fill in the blank 59	fill in the blank 60
Oct. 2-Deprec.	Depreciation Expense-Delivery Truck	fill in the blank 62	fill in the blank 63
	Accumulated Depreciation-Delivery Truck	fill in the blank 65	fill in the blank 66
Oct. 2-Sale	Cash	fill in the blank 68	fill in the blank 69
	Accumulated Depreciation-Delivery Truck	fill in the blank 71	fill in the blank 72
	Loss on Sale of Delivery Truck	fill in the blank 74	fill in the blank 75
	Delivery Truck	fill in the blank 77	fill in the blank 78
Dec. 31	Depreciation Expense-Delivery Truck	fill in the blank 80	fill in the blank 81
	Accumulated Depreciation-Delivery Truck	fill in the blank 83	fill in the blank 84