Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 50-year life and no residual value. The equipment is estimated to have a 10-year useful life and no residual value. Update depreciation on assets disposed of at the time of sale or retirement. Record adjusting entries for depreciation for 2020. Prepare the plant assets section of Marigold's statement of financial position at December 31, 2020. (List Property, plant and equipment in order of land, buildings and equipment.) At December 31, 2019, Marigold Enterprises reported the following as plant assets.Land€4,100,000Buildings€27,530,000Less: Accumulated depreciation-buildings13,490,00014,040,000Equipment48,500,000Less: Accumulated depreciation-equipment5,190,00043,310,000Total plant assets€61,450,000 During 2020, the following selected cash transactions occurred.AprilPurchased land for €2,000,000.1MaySold equipment that cost €660,000 when purchased on January 1, 2016. The equipment was soid for €410,080.1JuneSold land purchased on June 1, 2010 for €1,610,000. The land cost €401.000.JulyPurchased equipment for €2,570,000.1Dec.Retired equipment that cost €488,000 when purchased on December 31, 2010. No residual value was received.31

The details regarding the transaction occured during the year 2020 and the Asset section is given.…

Answered: At December 31, 2019, Marigold…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Journalize the above transactions. The company uses straight-line depreciation for buildings and equipment. The buildings are estimated to have a 50-year life and no residual value. The equipment is estimated to have a 10-year useful life and no residual value. Update depreciation on assets disposed of at the time of sale or retirement.

Record adjusting entries for depreciation for 2020.

Prepare the plant assets section of Marigold's statement of financial position at December 31, 2020. (List Property, plant and equipment in order of land, buildings and equipment.)

At December 31, 2019, Marigold Enterprises reported the following as plant assets.
Land
€4,100,000
Buildings
€27,530,000
Less: Accumulated depreciation-buildings
13,490,000
14,040,000
Equipment
48,500,000
Less: Accumulated depreciation-equipment
5,190,000
43,310,000
Total plant assets
€61,450,000

During 2020, the following selected cash transactions occurred.
April
Purchased land for €2,000,000.
1
May
Sold equipment that cost €660,000 when purchased on January 1, 2016. The equipment was soid for €410,080.
1
June
Sold land purchased on June 1, 2010 for €1,610,000. The land cost €401.000.
July
Purchased equipment for €2,570,000.
1
Dec.
Retired equipment that cost €488,000 when purchased on December 31, 2010. No residual value was received.
31

Definition Definition Financial statement that provides a snapshot of an organization's financial position at a specific point in time. It summarizes a company's assets, liabilities, and shareholder's equity, detailing what the company owns, what it owes, and what is left over for its owners. The balance sheet serves as a crucial tool to assess the financial health and stability of a company, as well as to help management make informed decisions about its future investments and financial obligations.

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