Problem 9-03A Sunland Company had the following assets on January 1, 2022. Item Cost Purchase Date Useful Life(in years) Salvage Value Machinery $77,000 Jan. 1, 2012 10 $ 0 Forklift 36,000 Jan. 1, 2019 5 0 Truck 42,400 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 $12,600. 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)
Problem 9-03A Sunland Company had the following assets on January 1, 2022. Item Cost Purchase Date Useful Life(in years) Salvage Value Machinery $77,000 Jan. 1, 2012 10 $ 0 Forklift 36,000 Jan. 1, 2019 5 0 Truck 42,400 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 $12,600. 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)
Corporate Financial Accounting
14th Edition
ISBN:9781305653535
Author:Carl Warren, James M. Reeve, Jonathan Duchac
Publisher:Carl Warren, James M. Reeve, Jonathan Duchac
Chapter9: Long-term Assets: Fixed And Intangible
Section: Chapter Questions
Problem 9.17EX: Entries for sale of fixed asset Equipment acquired on January 8 at a cost of 168,000 has an...
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Problem 9-03A
Sunland Company had the following assets on January 1, 2022.
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 $12,600. The truck was discarded on December 31.
Journalize all entries required on the above dates, including entries to updatedepreciation , 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.)
Item | Cost | Purchase Date | Useful Life (in years) |
Salvage Value | ||||
---|---|---|---|---|---|---|---|---|
Machinery
|
$77,000 | Jan. 1, 2012 | 10 | $ 0 | ||||
Forklift
|
36,000 | Jan. 1, 2019 | 5 | 0 | ||||
Truck
|
42,400 | 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 $12,600. The truck was discarded on December 31.
Journalize all entries required on the above dates, including entries to update
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) | ||||
|
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) | ||||
|
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) |
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