Sage Hill Company purchased a delivery truck (vehicles) on June 1 for $38,520, paying $18,600 cash...

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Sage Hill Company purchased a delivery truck (vehicles) on June 1 for $38,520, paying $18,600 cash and signing a 5%, two-month note for the remaining balance, interest to be paid at maturity. The truck is expected to have a six-year useful life. Sage Hill Company prepares monthly financial statements. (a) Prepare the journal entry to record the acquisition of the delivery truck on June 1. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Date Account Titles and Explanation June 1 Cash Debit 18600 Credit Sage Hill Company purchased a delivery truck (vehicles) on June 1 for $38,520, paying $18,600 cash and signing a 5%, two-month note for the remaining balance, interest to be paid at maturity. The truck is expected to have a six-year useful life. Sage Hill Company prepares monthly financial statements. (a) Prepare the journal entry to record the acquisition of the delivery truck on June 1. (List all debit entries before credit entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter O for the amounts. List debit entry before credit entry.) Date Account Titles and Explanation June 1 Cash Debit 18600 Credit

Answer rating: 100% (QA)

Debit Vehicle Ac 38520 Credit Cash Ac 18600 Credit Notes Payable Ac 199... View the full answer