2019 April 1 Purchased Land, building and equipment for $320,000 by signing a note payable. The...

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2019 April 1 Purchased Land, building and equipment for $320,000 by signing a note payable. The appraised value for the new assets is Land - $138,000, Building - $276,000, Equipment - $46,000. The building will be depreciated using the straight-line method over 20 years with a $50,000 residual value. The equipment will be depreciated over 4 years with no residual value using the double declining balance method. April 1 Paid $8,000 to improve the efficiency of the equipment. Jun 29 Purchased a vehicle for $15,000 by signing a note. The vehicle has a residual value of $3,000 and it is estimated the car will be driven 150,000 km over its useful life. The units of production method will be used to depreciate the vehicle. Dec 3 Purchased a patent paying $25,920 cash. The remaining useful life of the patent is 4 years and has no residual value. Dec 31 Recorded depreciation on the assets. The vehicle was driven 26,000 km in 2019. 2020 Dec 1 The vehicle purchased last year proved to be very unreliable, so the company sold it for $5,000. The vehicle had been driven 32,000 km in 2020. Dec 31 After using the building for a year the company estimated that wear and tear on the building would force replacement in 15 years. Dec 31 Record amortization on the assets. Requirement 2 (10%): Post the 2019 journal entries to the general ledger. Post all Depreciation Expense into one expense account. Record the closing entries for 2019. Post the 2019 closing entries to the general ledger. Compute the balances in the general ledger at the end of 2019. (You do not need to post the entries for 2020.) 2019 April 1 Purchased Land, building and equipment for $320,000 by signing a note payable. The appraised value for the new assets is Land - $138,000, Building - $276,000, Equipment - $46,000. The building will be depreciated using the straight-line method over 20 years with a $50,000 residual value. The equipment will be depreciated over 4 years with no residual value using the double declining balance method. April 1 Paid $8,000 to improve the efficiency of the equipment. Jun 29 Purchased a vehicle for $15,000 by signing a note. The vehicle has a residual value of $3,000 and it is estimated the car will be driven 150,000 km over its useful life. The units of production method will be used to depreciate the vehicle. Dec 3 Purchased a patent paying $25,920 cash. The remaining useful life of the patent is 4 years and has no residual value. Dec 31 Recorded depreciation on the assets. The vehicle was driven 26,000 km in 2019. 2020 Dec 1 The vehicle purchased last year proved to be very unreliable, so the company sold it for $5,000. The vehicle had been driven 32,000 km in 2020. Dec 31 After using the building for a year the company estimated that wear and tear on the building would force replacement in 15 years. Dec 31 Record amortization on the assets. Requirement 2 (10%): Post the 2019 journal entries to the general ledger. Post all Depreciation Expense into one expense account. Record the closing entries for 2019. Post the 2019 closing entries to the general ledger. Compute the balances in the general ledger at the end of 2019. (You do not need to post the entries for 2020.)

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General Ledger ABC Company For the year ended December 31 2019 ... View the full answer