Question: Help need to journalize some information! PREPARE JOURNAL ENTRY WORKSHEET Paid $274,000 cash plus $10,960 in sales tax and $1,900 in transportation (FOB shipping point)
Help need to journalize some information!
PREPARE JOURNAL ENTRY WORKSHEET
Paid $274,000 cash plus $10,960 in sales tax and $1,900 in transportation (FOB shipping point) for a new loader. The loader is estimated to have a four-year life and a $27,400 salvage value. Loader costs are recorded in the Equipment account.
Paid $3,000 to enclose the cab and install air-conditioning in the loader to enable operations under harsher conditions. This increased the estimated salvage value of the loader by another $900.
Recorded annual straight-line depreciation on the labor.
Paid $4,100 to overhaul the loaders engine, which increased the loaders estimated useful life by two years.
Paid $1,025 to repair the loader after the operator backed it into a tree
Recorded annual straight-line depreciation on the loader.
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