Journal Entries for Plant Assets During the first few days of the year, Coast Company entered into the following transactions:
1. Purchased a parcel of land with a building on it for $900,000 cash. The building, which will be used in operations, has an estimated useful life of 25 years and a salvage value of $60,000. The assessed valuations for property tax purposes show the land at $80,000 and the building at $720,000.
2. Paid $31, 200 for the construction of an asphalt parking lot for customers. The parking lot is expected to last 12 years and has no salvage value.
3. Paid $25,000 for the construction of a new entrance to the building.
4. Purchased store equipment, paying the invoice price (including seven percent sales tax) of $78, 760 in cash. The estimated useful life of the equipment is eight years, and the salvage value is $6,000.
5. Paid $240 freight on the new equipment.
6. Paid $1, 650 to repair damages to floor caused when the store equipment was accidentally dropped as it was moved into place.
7. Paid $55 for an umbrella holder to place inside front door (customers may place wet umbrellas in the holder). The holder is expected to last 20 years.
Required
a. Prepare journal entries to record these transactions.
b. Prepare the December 31 journal entries to record depreciation expense for the year. Double-declining balance depreciation is used for the equipment, and straight-line depreciation is used for the building and parking lot.
Answers: 1
Business, 21.06.2019 23:30, zoelynn8386
On september 12, ryan company sold merchandise in the amount of $5,800 to johnson company, with credit terms of 2/10, n/30. the cost of the items sold is $4,000. ryan uses the periodic inventory system and the net method of accounting for sales. on september 14, johnson returns some of the non-defective merchandise, which is restored to inventory. the selling price of the returned merchandise is $500 and the cost of the merchandise returned is $350. the entry or entries that ryan must make on september 14 is (are): multiple choice sales returns and allowances 490 accounts receivable 490 merchandise inventory 350 cost of goods sold 350 sales returns and allowances 490 accounts receivable 490 sales returns and allowances 500 accounts receivable 500 sales returns and allowances 490 accounts receivable 490 merchandise inventory 343 cost of goods sold 343 sales returns and allowances 350 accounts receivable 350
Answers: 1
Business, 22.06.2019 15:00, swansondonovanp66got
Ineed this asap miguel's boss asks him to distribute information to the entire staff about a mandatory meeting. in 1–2 sentences, describe what miguel should do.
Answers: 1
Journal Entries for Plant Assets During the first few days of the year, Coast Company entered into t...
History, 16.04.2020 20:37
English, 16.04.2020 20:37