Tristar Production Company began operations on September 1, 2024. Listed below are a number of transactions that occurred during its first four months of operations. 1. On September 1, the company acquired five acres of land with a building that will be used as a warehouse. Tristar paid $280,000 in cash for the property. According to appraisals, the land had a fair value of $195,000 and the building had a fair value of $105,000. 2. On September 1, Tristar signed a $58,000 noninterest-bearing note to purchase equipment. The $58,000 payment is due on September 1, 2025. Assume that 10% is a reasonable interest rate. 3. On September 15 , a truck was donated to the corporation. Similar trucks were selling for $4,300. 4. On September 18 , the company paid its lawyer $6,500 for organizing the corporation. 5. On October 10. Tristar purchased equipment for cash. The purchase price was $33,000 and $1,400 in freight charges also were paid. 6. On December 2, Tristar acquired equipment. The company was short of cash and could not pay the $7,300 normal cash price. The supplier agreed to accept 200 shares of the company's no-par common stock in exchange for the equipment. The fair value of the stock is not readily determinable. 7. On December 10 , the compony acquired a tract of land at a cost of $38,000. It paid $6,500 down and signed a 12% note with both principal and interest due in one year. Twelve percent is an appropriate rate of interest for this note. Required: Prepare journal entries to record each of the above transactions. Note: Use tables, Excel, or a financial calculator. If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to the nearest whole dollar. (EV of S1, PV of S1. EVA of S1, PVA of S1, EVAD of \$1 and PVAD of \$i) Journal entry worksheet Journal entry worksheet 234567 On September 1 , the company acquired five acres of land with a building that will be used as a warehouse. Tristar paid $280,000 in cash for the property. According to appraisals, the land had a fair value of $195,000 and the building had a fair value of $105,000. Note: Enter debits before credits. Journal entry worksheet On September 1, Tristar signed a $58,000 noninterest-bearing note to purchase equipment. The $58,000 payment is due on September 1,2025. Assume that 10% is a reasonable interest rate. Note: Enter debits before credits. Journal entry worksheet 7 On September 15, a truck was donated to the corporation. Similar trucks were selling for $4,300. Note: Enter debits before credits. Journal entry worksheet On September 18 , the company paid its lawyer $6,500 for organizing the corporation. Note: Enter debits before credits. Journal entry worksheet 7 On October 10, Tristar purchased equipment for cash. The purchase price was $33,000 and $1,400 in freight charges also were paid. Note: Enter debits before credits. Journal entry worksheet On December 2, Tristar acquired equipment. The company was short of cash and could not pay the $7,300 normal cash price. The supplier agreed to accept 200 shares of the company's no-par common stock in exchange for the equipment. The fair value of the stock is not readily determinable. Note: Enter debits before credits. Journal entry worksheet
