Problem 7-2 (Part Level Submission)

At December 31, 2017, Blue Corporation reported the following plant assets.

Land				$ 5,853,000
Buildings		$26,740,000
Less: Accumulated depreciationbuildings		23,265,675		3,474,325
Equipment		78,040,000
Less: Accumulated depreciationequipment		9,755,000		68,285,000
Total plant assets				$77,612,325

During 2018, the following selected cash transactions occurred.

Apr.	1		Purchased land for $4,292,200.
May	1		Sold equipment that cost $1,170,600 when purchased on January 1, 2011. The equipment was sold for $331,670.
June	1		Sold land for $3,121,600. The land cost $1,951,000.
July	1		Purchased equipment for $2,146,100.
Dec.	31		Retired equipment that cost $1,365,700 when purchased on December 31, 2008. No salvage value was received.

The part in A in green is already correct. I need help in part B, please.. Include what the Drop down info should be also.

Enter the 2018 transactions in the tabular summary from part (a). Blue uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 40-year useful life and no salvage value; the equipment is 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. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parentheses) in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.)

Your answer is correct. Prepare a tabular summary that includes the plant asset accounts and balances shown on the December 31, 2017, balance sheet. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parenthese in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.) Assets = Liabilities + Stockholders' Equity Retained Earnings Revenue - Expense - Cash + + Common Stock + Dividend Land 000 Buildings 26,740,000 - Accum. Depr. - Bldgs. + 1-23,265.675 Equipment 178,040,000 - Accum. Depr. - Equip. J -9,755,000 (b) Enter the 2018 transactions in the tabular summary from part (a). Blue uses straight-line depreciation for buildings and equipment. TH life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement. (If a transaction causes a de entered for the particular Asset, Liability or Equity item that was reduced.) Assets Cash + Land + Buildings - Accum. Depr. - Bldgs. + Equipment - Accum. Depr.- Equip. Bals Apr. 1 May 1 May 1 June 1 July 1 Dec. 31 Dec. 31 = Liabilities + Stockholders' Equity Retained Earnings Revenue - Expense - + Common Stock + Dividend Your answer is correct. Prepare a tabular summary that includes the plant asset accounts and balances shown on the December 31, 2017, balance sheet. (If a transaction causes a decrease in Assets, Liabilities or Stockholders' Equity, place a negative sign (or parenthese in front of the amount entered for the particular Asset, Liability or Equity item that was reduced.) Assets = Liabilities + Stockholders' Equity Retained Earnings Revenue - Expense - Cash + + Common Stock + Dividend Land 000 Buildings 26,740,000 - Accum. Depr. - Bldgs. + 1-23,265.675 Equipment 178,040,000 - Accum. Depr. - Equip. J -9,755,000 (b) Enter the 2018 transactions in the tabular summary from part (a). Blue uses straight-line depreciation for buildings and equipment. TH life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement. (If a transaction causes a de entered for the particular Asset, Liability or Equity item that was reduced.) Assets Cash + Land + Buildings - Accum. Depr. - Bldgs. + Equipment - Accum. Depr.- Equip. Bals Apr. 1 May 1 May 1 June 1 July 1 Dec. 31 Dec. 31 = Liabilities + Stockholders' Equity Retained Earnings Revenue - Expense - + Common Stock + Dividend