Problem 10-05A a-c

Problem 10-05A a-c (Video) At December 31, 2020, Martinez Company reported the following as plant assets. Land $ 3,860,000 Buildings $28,520,000 Less: Accumulated depreciation-buildings 12,200,000 16,320,000 Equipment 48.380,000 Less: Accumulated depreciation-equipment 5,220,000 43,160,000 Total plant assets $63,340,000 During 2021, the following selected cash transactions occurred. April 1 Purchased land for $2,080,000. May 1 Sold equipment that cost $1,170,000 when purchased on January 1, 2017. The equipment was sold for $702,000. June 1 Sold land purchased on June 1, 2011 for $1,430,000. The land cost $409,000. July 1 Purchased equipment for $2,580,000. Dec. 31 Retired equipment that cost $515,000 when purchased on December 31, 2011. The company received no proceeds related to salvage. Your answer is correct. Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 50- estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement. (Credit acc amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select ( for the amounts. ) Debit Credit Date Account Titles and Explanation 2080000 Apr. 1 Land 2080000 Cash 39000 May 1 Depreciation Expense 39000 Accumulated Depreciation-Equipment