tue noloya an 2onctions and adusting entries were completed by a paper packaging company celled Gravure Graphics International company uses straight-line depreciation for trucks and other vehicles, double-declining-balance depreciation for buildings, and straight-line amortization for patents 2818 January 2 Paid $85,600 cash to purchase storage shed components. January 3 Paid $5,000 cash to have the storage shed erected. The storage shed has an estinated life of 10 years and a residual April 1 Paid $41,000 cash to purchase a pickup truck for use in the business. The truck has an estimated useful ite of five value of $8,000. years and a residual value of $6,000 remaining useful life of five years. May 13 Paid $600 cash for minor repairs to the pickup truck's upholstery patent rights on a new paper bag sanufacturing process. The patent is estissted to have tent rights on a new paper bag nanufacturing process. The patent is estimated to have a Decenber 31 Recorded depreciation and anortization on the pickup truck, storage shed, and patent. 2019 Dune 30 Sold the pickup truck for $35,009 cash. (Record the book value (i.e., wrote down the. book value to zero) depreciation on the truck prior to recording its disposal.) December 31 Recorded depreciation on the storage shed. Al so determined that the patent was impaired and wrote off its remaining K1 2 3 4 5 6 7 8. 12 Record the purchase of storage shed components for $85,000. Note: Enter debits before credits. Date General Journal Debit Credit January 02, 2018 1 4 6 Record the payment of $5,000 to have the storage shed erected. Note: Enter debits before credits Date General Journal Debit Credit January 03, 2018 Journal entry worksheet K 1 23 4 5 6 7 8 12 Record the purchase of a pickup truck for $41,000. Note: Enter debits before credits Date General Journal Debit Credit April 01, 2018 Journal entry worksheet 3 5 67 8 . 12 2 Record the repairs of $600 to the pickup truck. Note: Enter debits before credits. General Journal Debit Credit Date May 13, 2018 Journal entry worksheet K1 2 3 45 67 8.. 12 Record the purchase of a patent for $30,000 on a new paper bag manufacturing process. Note: Enter debits before credits Date General Journal Debit Credit July 01, 2018 Journal entry worksheet 1 2 3 4 5 6 Record the depreciation and amortization expense on the pickup truck, storage shed and patent for the year. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2018 Journal entry worksheet 2 3 4 6 12 Record the depreciation for the truck up to the date of sale. Note: Enter debits before credits. Date General Journal Debit Credit June 30, 2019 Journal entry worksheet 3 4 6 12 Record the sale of the truck for $35,000 cash. Note: Enter debits before credits. General Journal Debit Credit Date June 30, 2019 Journal entry worksheet 5 6 7 8 9 10.. Record the depreciation on the storage shed for the year. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2019 Journal entry worksheet 5 6 7 8 0 12 Record the Patent Amortization expense for the full year. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2019 Journal entry worksheet K15 6789 10 12 Record the reversal of the accumulated amortization of patents. Note: Enter debits before credits. Date General Journal Debit Credit December 31, 2019 Journal entry worksheet 5 6 7 8 910 11 Record any impairment loss incurred on the patent. Note: Enter debits before credits. General Journal Debit Credit Date December 31, 2019
