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View Policies Show Attempt History Current Attempt in Progress At January 1, 2022, Sheridan Company reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings Accumulated depreciation equipment Buildings Equipment Land $64,150,000 53,500,000 97,500,000 150,200,000 22,400,000 The company uses straight-line depreciation for buildings and equipment, its year-end is December 31, and it makes adjustments annually. 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. During 2022, the following selected transactions occurred: Apr. 1 May 1 June 1 Purchased land for $5 million. Paid $1 million cash and issued a 3-year, 6% note payable for the balance. Interest on the note is payable annually each April 1. Sold equipment for $340,000 cash. The equipment cost $4 million when originally purchased on January 1, 2014. Sold land for $4 million. Received $660,000 cash and accepted a 3-year, 5% note for the balance. The land cost $1 million when purchased on June 1, 2016. Interest on the note is due annually each June 1. Purchased equipment for $2 million cash. Retired equipment that cost $1 million when purchased on December 31, 2012. No proceeds were received. July 1 Dec. 31 (a) Your answer is correct. Prepare a tabular summary that includes the property, plant, and equipment balances as of January 1, 2022. (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.) Cash + Notes Rec. Interest Rec. Jan. 1 $ i $ i $ e Textbook and Media List of Accounts Attempts: 1 of 3 used View Policies Show Attempt History Current Attempt in Progress At January 1, 2022, Sheridan Company reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings Accumulated depreciation equipment Buildings Equipment Land $64,150,000 53,500,000 97,500,000 150,200,000 22,400,000 The company uses straight-line depreciation for buildings and equipment, its year-end is December 31, and it makes adjustments annually. 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. During 2022, the following selected transactions occurred: Apr. 1 May 1 June 1 Purchased land for $5 million. Paid $1 million cash and issued a 3-year, 6% note payable for the balance. Interest on the note is payable annually each April 1. Sold equipment for $340,000 cash. The equipment cost $4 million when originally purchased on January 1, 2014. Sold land for $4 million. Received $660,000 cash and accepted a 3-year, 5% note for the balance. The land cost $1 million when purchased on June 1, 2016. Interest on the note is due annually each June 1. Purchased equipment for $2 million cash. Retired equipment that cost $1 million when purchased on December 31, 2012. No proceeds were received. July 1 Dec. 31 (a) Your answer is correct. Prepare a tabular summary that includes the property, plant, and equipment balances as of January 1, 2022. (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.) Cash + Notes Rec. Interest Rec. Jan. 1 $ i $ i $ e Textbook and Media List of Accounts Attempts: 1 of 3 used