Polar Company purchased a building with an expected useful life of 40 years for $600,000 on January
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Required:
a. Give the journal entries that would be made by Polar to record the building purchase in 2016 and the depreciation expense for 2016 and 2017, assuming straight-line depreciation is used.
b. Repeat part “a,” but now assume that the double-diminishing-balance is used.
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a For the building purchase Buildings 600000 Cash 600000 For each of 2016 2017 depreciation Depre...View the full answer
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Related Book For
Understanding Financial Accounting
ISBN: 978-1118849385
1st Canadian Edition
Authors: Christopher Burnley, Robert Hoskin, Maureen Fizzell, Donald
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A journal entry is an act of keeping or making records of any transactions either economic or non-economic. Transactions are listed in an accounting journal that shows a company\'s debit and credit balances. The journal entry can consist of several recordings, each of which is either a debit or a credit
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