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Year 1 January 1 Paid $ 2 7 0 , 0 0 0 cash plus $ 1 0 , 8 0 0 in sales tax
Year
January Paid $ cash plus $ in sales tax and $ in transportation FB shipping point for a new loader. The loader is estimated to have a fouryear life and a $ salvage value. Loader costs are recorded in the Equipment account.
January Paid $ to install air conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $
Year
January Paid $ to overhaul the loader's engine, which increased the loader's estimated useful life by two
February years.
December Recorded $ for minor repairs to the loader after the operator backed it into a tree.
Required:
Prepare journal entries to record these transactions and events.
Journal entry worksheet
Paid $ cash plus $ in sales tax and $ in transportation FOB shipping point for a new loader. The loader is estimated to have a fouryear life and a $ salvage value. Loader costs are recorded in the Equipment account.
Note: Enter debits before credits.
tableDateGeneral Journal,Debit,CreditJanuary Year
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