Cullumber Company had the following assets on January 1, 2022. Item Cost Purchase Date Useful Life(in years) Salvage Value Machinery $72,000 Jan. 1, 2012 10 $ 0 Forklift 31,000 Jan. 1, 2019 5 0 Truck 37,400 Jan. 1, 2017 8 3,000 During 2022, each of the assets was removed from service. The machinery was retired on January 1. The forklift was sold on June 30 for $12,100. The truck was discarded on December 31.Journalize all entries required on the above dates, including entries to update depreciation, where applicable, on disposed assets. The company uses straight-line depreciation. All depreciation was up to date as of December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit choose a transaction date Jan. 1June 30Dec. 31 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record depreciation expense on forklift enter a debit amount enter a credit amount enter an account title to record depreciation expense on forklift enter a debit amount enter a credit amount (To record depreciation expense on forklift) choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount (To record sale of forklift) choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record depreciation expense on truck enter a debit amount enter a credit amount enter an account title to record depreciation expense on truck enter a debit amount enter a credit amount (To record depreciation expense on truck) choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record sale of truck on December 31 enter a debit amount enter a credit amount enter an account title to record sale of truck on December 31 enter a debit amount enter a credit amount enter an account title to record sale of truck on December 31 enter a debit amount enter a credit amount (To record sale of truck)

Cullumber Company had the following assets on January 1, 2022. Item Cost Purchase Date Useful Life(in years) Salvage Value Machinery $72,000 Jan. 1, 2012 10 $ 0 Forklift 31,000 Jan. 1, 2019 5 0 Truck 37,400 Jan. 1, 2017 8 3,000 During 2022, each of the assets was removed from service. The machinery was retired on January 1. The forklift was sold on June 30 for $12,100. The truck was discarded on December 31.Journalize all entries required on the above dates, including entries to update depreciation, where applicable, on disposed assets. The company uses straight-line depreciation. All depreciation was up to date as of December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.) Date Account Titles and Explanation Debit Credit choose a transaction date Jan. 1June 30Dec. 31 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record depreciation expense on forklift enter a debit amount enter a credit amount enter an account title to record depreciation expense on forklift enter a debit amount enter a credit amount (To record depreciation expense on forklift) choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount enter an account title to record sale of forklift on June 30 enter a debit amount enter a credit amount (To record sale of forklift) choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record depreciation expense on truck enter a debit amount enter a credit amount enter an account title to record depreciation expense on truck enter a debit amount enter a credit amount (To record depreciation expense on truck) choose a transaction date Jan. 1June 30Dec. 31 enter an account title to record sale of truck on December 31 enter a debit amount enter a credit amount enter an account title to record sale of truck on December 31 enter a debit amount enter a credit amount enter an account title to record sale of truck on December 31 enter a debit amount enter a credit amount (To record sale of truck)

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter22: Accounting For Changes And Errors.

Section: Chapter Questions

Problem 8P: At the beginning of 2020, Holden Companys controller asked you to prepare correcting entries for the...

See similar textbooks

Related questions

Concept explainers

Topic Video

Question

Cullumber Company had the following assets on January 1, 2022.

Item	Cost	Purchase Date	Useful Life (in years)	Salvage Value
Machinery	$72,000	Jan. 1, 2012	10	$ 0
Forklift	31,000	Jan. 1, 2019	5	0
Truck	37,400	Jan. 1, 2017	8	3,000

During 2022, each of the assets was removed from service. The machinery was retired on January 1. The forklift was sold on June 30 for $12,100. The truck was discarded on December 31.

Journalize all entries required on the above dates, including entries to update depreciation, where applicable, on disposed assets. The company uses straight-line depreciation. All depreciation was up to date as of December 31, 2021. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts.)

Date

Account Titles and Explanation

Debit

Credit

choose a transaction date Jan. 1June 30Dec. 31

enter an account title

enter a debit amount

enter a credit amount

enter an account title

enter a debit amount

enter a credit amount

choose a transaction date Jan. 1June 30Dec. 31

enter an account title to record depreciation expense on forklift

enter a debit amount

enter a credit amount

enter an account title to record depreciation expense on forklift

enter a debit amount

enter a credit amount

(To record depreciation expense on forklift)

choose a transaction date Jan. 1June 30Dec. 31

enter an account title to record sale of forklift on June 30

enter a debit amount

enter a credit amount

enter an account title to record sale of forklift on June 30

enter a debit amount

enter a credit amount

enter an account title to record sale of forklift on June 30

enter a debit amount

enter a credit amount

enter an account title to record sale of forklift on June 30

enter a debit amount

enter a credit amount

(To record sale of forklift)

choose a transaction date Jan. 1June 30Dec. 31

enter an account title to record depreciation expense on truck

enter a debit amount

enter a credit amount

enter an account title to record depreciation expense on truck

enter a debit amount

enter a credit amount

(To record depreciation expense on truck)

choose a transaction date Jan. 1June 30Dec. 31

enter an account title to record sale of truck on December 31

enter a debit amount

enter a credit amount

enter an account title to record sale of truck on December 31

enter a debit amount

enter a credit amount

enter an account title to record sale of truck on December 31

enter a debit amount

enter a credit amount

(To record sale of truck)

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 4 steps with 3 images

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.