what is the correct answer to put for franchise rights
Randy's Restaurant Company (RRC) entered into the following transactions during a recent year. April 1Purchased equipment (a new walk-in cooler) for 35,400 by paying $1,200 cash and signing a $4,200 note due in six months April 2 Enhanced the equipment (by replacine the air-conditioning system in the walk-in cooler) at a cost of $3,200, purchased on account. April 3 wrote a check for the amount owed on account for the work completed on April 2. Hay 1 A local carpentry company repaired the restaurant's front door, for which RRC wrote > check for the full 5140 cost. June 1 Paid 59,600 cash for the rights to use the name and store concept created by a different restaurant that has been successful in the region 1-b. Prepare the journal entries for each of the above transactions, 2. For the tangible and intangible assets acquired in the preceding transactions, determine the amount of depreciation and amortization that Randy's Restaurant Company should report for the quarter ended June 30. Equipment is depreciated using the straight-line method with a useful life of five years and no residual value The RRC franchise right is amortized using the straight line method with a useful life of four years and no residual value 3. Prepare a journal entry to record the depreciation and amortization calculated in requirement 2 Req 18 Reg 2 Reqa Prepare the journal entries for each of the above transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) No Date Debit Credit April 01 5.400 General Journal Equipment Cash Notes Payable (short-term) 1.200 4.200 2. April 02 3.200 Equipment Accounts Payable so 3.200 S 3 Aon 30 3.200 Accounts Payable Cash 3.200 Ro 4 May 01 140 Repairs and Maintenance pense Cash . 140 5 June 01 0.000 Franchise Rights Cash S8 2.000 Reg 2 Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg 18 Reg 2 Req3 For the tangible and intangible assets acquired in the preceding transactions, determine the amount of depreciation and amortization that Randy's Restaurant Company should report for the quarter ended June 30. Equipment is depreciated using the straight-line method with a useful life of five years and no residual value. The RRC franchise night is amortized using the straight-line method with a useful life of four years and no residual value. Do not round Intermediate calculations.) Show less oor Equipment Franchise Rights Partial Year 5 430 3 O 200 Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Reg 10 RAG 2 Prepare a journal entry to record the depreciation and amortization calculated in requirement 2. (if no entry is required for a transaction/event, select "No Journal Entry Required in the first account field.) No Date Credit Debit 430 1 March 31 Oeneral Journal Depreciation Expense Amortization Expense Accumulated Depreciation Equipment Franchise Rights 200 OOOO 430 200
