Required information(The following information applies to the questions displayed below)Precision Construction entered into the following transactions during a recent year.January 2 Purchased a bulldozer for $250, e00 by paying $20,000 cash and signing a $23a, 00e note due in fiveyears.January 3 Replaced the steel tracks on the bulldozer at a cost of $2e,0e0, purchased on account. The newsteel tracks increase the bulldozer's operating efficiency.January 30 Wrote a check for the amount owed on account for the work conpleted on January 3.February 1 Repaired the leather seat on the bulldozer and wrote a check for the full $800 cost.March 1 Paid $3,600 cash for the rights to use computer software for a two-year period.Required:1-a. Complete the table below, for the above transactions. (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with aminus sign.)Stockholders' EquityDateAssetsLlabilitiesJanuary 02January 02January 03January 30February 01March 01March 01

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Description: Required information(The following information applies to the questions displayed below)Precision Construction entered into the following transactions during a recent year.January 2 Purchased a bulldozer for $250, e00 by paying $20,000 cash and sign

Date Assets Liabilities Shareholders' Equity 02-Jan Bulldozer 2,50,000 Note…

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Accounting

Precision Construction entered into the following transactions during a recent year. January 2 Purchased a bulldozer for $250,eee by paying $20, 00e cash and signing a $230,000 note due in five years. January 3 Rep laced the steel tracks on the bulldezer at a cost of $2e,000, purchased on account. The new steel tracks increase the bulldozer's operating efficiency. January 30 Wrote a check for the anount owed on account for the work conpleted on January 3. February 1 Repaired the leather seat on the bulldozer and wrote a check for the full $8e0 cost. March 1 Paid $3,600 cash for the rights to use conputer softvare for a two-year period. Required: 1-a. Complete the table below, for the above transactions. (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.) Stockholders' Equity Liabilities Date Assets January 02 January 02 January 03 January 30 February 01 March 01 March 01

Precision Construction entered into the following transactions during a recent year. January 2 Purchased a bulldozer for $250,eee by paying $20, 00e cash and signing a $230,000 note due in five years. January 3 Rep laced the steel tracks on the bulldezer at a cost of $2e,000, purchased on account. The new steel tracks increase the bulldozer's operating efficiency. January 30 Wrote a check for the anount owed on account for the work conpleted on January 3. February 1 Repaired the leather seat on the bulldozer and wrote a check for the full $8e0 cost. March 1 Paid $3,600 cash for the rights to use conputer softvare for a two-year period. Required: 1-a. Complete the table below, for the above transactions. (Enter any decreases to Assets, Liabilities, or Stockholders' Equity with a minus sign.) Stockholders' Equity Liabilities Date Assets January 02 January 02 January 03 January 30 February 01 March 01 March 01

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter11: Long-term Assets

Section: Chapter Questions

Problem 2EB: Johnson, Incorporated had the following transactions during the year: Purchased a building for...

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Johnson, Incorporated had the following transactions during the year: Purchased a building for $5,000,000 using a mortgage for financing Paid $2,000 for ordinary repair on a piece of equipment Sold product on account to customers for $1,500,600 Purchased a copyright for $5,000 cash Paid $20,000 cash to add a storage shed in the corner of an existing building Paid $360,000 in monthly salaries Paid $25,000 for routine maintenance on equipment Paid $110,000 for major repairs If all transactions were recorded properly, what amount did Johnson capitalize for the year, and what amount did Johnson expense for the year?
A truck was recently purchased for 75,000 with a salvage value of 5,000 and an estimated useful life of eight years or 150,000 miles (24,000 miles per year for the first five years and 10,000 miles per year after that). Enter the new information in the Data Section of the worksheet. Again, make sure the totals for all three methods are in agreement. Print the worksheet. Save this new data as DEPREC5.
A delivery van was bought for 18,000. The estimated life of the van is four years. The trade-in value at the end of four years is estimated to be 2,000. Required Prepare a depreciation schedule for the four-year period using the straight-line method. Check Figure Year 1 depreciation, 4,000
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IMPACT OF IMPROVEMENTS AND REPLACEMENTS ON THE CALCULATION OF DEPRECIATION On January 1, 20-1, Dans Demolition purchased two jackhammers for 2,500 each with a salvage value of 100 each and estimated useful lives of four years. On January 1, 20-2, a stronger blade to improve performance was installed in Jackhammer A for 800 cash and the compressor was replaced in Jackhammer B for 200 cash. The compressor is expected to extend the life of Jackhammer B one year beyond the original estimate. REQUIRED 1. Using the straight-line method, prepare general journal entries for depreciation on December 31, 20-1, for Jackhammers A and B. 2. Enter the transactions for January 20-2 in a general journal. 3. Assuming no other additions, improvements, or replacements, calculate the depreciation expense for each jackhammer for 20-2 through 20-4.
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Johnson, Incorporated, had the following transactions during the year: Purchased a building for $5,000,000 using a mortgage for financing Paid $2,000 for ordinary repair on a piece of equipment Sold product on account to customers for $1,500,600 Paid $20,000 cash to add a storage shed in the corner of an existing building Paid $360,000 in monthly salaries Paid $25,000 for routine maintenance on equipment Paid $110,000 for extraordinary repairs Depreciation expense recorded for the year is $15,000. If all transactions were recorded properly, what is the amount of increase to the Property, Plant, and Equipment section of Johnsons balance sheet resulting from this years transactions? What amount did Johnson report on the income statement for expenses for the year?
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