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At December 31, 2027, Bramble Company reported the following as plant assets. Land $4,100,000 Buildings $28,400,000 Less: Accumulated depreciation-buildings 12,870,000 15,530,000 Equipment 47,910,000 Less: Accumulated depreciation-equipment 5,360,000 42,550,000 Total plant assets $62,180,000 During 2028, the following selected cash transactions occurred. April 1 Purchased land for $2,100,000. May 1 June 1 July 1 Dec. 31 Sold equipment that cost $1,080,000 when purchased on January 1, 2024. The equipment was sold for $648,000. Sold land purchased on June 1, 2013 for $1,530,000. The land cost $408,000. Purchased equipment for $2,370,000. Retired equipment that cost $485,000 when purchased on December 31, 2013. 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 salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation May 1 (To record depreciation) (To record sale of equipment) (To record depreciation) Debit Credit

At December 31, 2027, Bramble Company reported the following as plant assets. Land $4,100,000 Buildings $28,400,000 Less: Accumulated depreciation-buildings 12,870,000 15,530,000 Equipment 47,910,000 Less: Accumulated depreciation-equipment 5,360,000 42,550,000 Total plant assets $62,180,000 During 2028, the following selected cash transactions occurred. April 1 Purchased land for $2,100,000. May 1 June 1 July 1 Dec. 31 Sold equipment that cost $1,080,000 when purchased on January 1, 2024. The equipment was sold for $648,000. Sold land purchased on June 1, 2013 for $1,530,000. The land cost $408,000. Purchased equipment for $2,370,000. Retired equipment that cost $485,000 when purchased on December 31, 2013. 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 salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation May 1 (To record depreciation) (To record sale of equipment) (To record depreciation) Debit Credit

Financial Reporting, Financial Statement Analysis and Valuation
Financial Reporting, Financial Statement Analysis and Valuation
8th Edition
ISBN:9781285190907
Author:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Publisher:James M. Wahlen, Stephen P. Baginski, Mark Bradshaw
Chapter8: Investing Activities
Section: Chapter Questions
Problem 1.3AIC: Estimate the average total estimated useful life of depreciable property, plant, and equipment....
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Question 7a

At December 31, 2027, Bramble Company reported the following as plant assets. Land $4,100,000 Buildings $28,400,000 Less: Accumulated depreciation-buildings 12,870,000 15,530,000 Equipment 47,910,000 Less: Accumulated depreciation-equipment 5,360,000 42,550,000 Total plant assets $62,180,000 During 2028, the following selected cash transactions occurred. April 1 Purchased land for $2,100,000. May 1 June 1 July 1 Dec. 31 Sold equipment that cost $1,080,000 when purchased on January 1, 2024. The equipment was sold for $648,000. Sold land purchased on June 1, 2013 for $1,530,000. The land cost $408,000. Purchased equipment for $2,370,000. Retired equipment that cost $485,000 when purchased on December 31, 2013.
Transcribed Image Text:At December 31, 2027, Bramble Company reported the following as plant assets. Land $4,100,000 Buildings $28,400,000 Less: Accumulated depreciation-buildings 12,870,000 15,530,000 Equipment 47,910,000 Less: Accumulated depreciation-equipment 5,360,000 42,550,000 Total plant assets $62,180,000 During 2028, the following selected cash transactions occurred. April 1 Purchased land for $2,100,000. May 1 June 1 July 1 Dec. 31 Sold equipment that cost $1,080,000 when purchased on January 1, 2024. The equipment was sold for $648,000. Sold land purchased on June 1, 2013 for $1,530,000. The land cost $408,000. Purchased equipment for $2,370,000. Retired equipment that cost $485,000 when purchased on December 31, 2013.
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 salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation May 1 (To record depreciation) (To record sale of equipment) (To record depreciation) Debit Credit
Transcribed Image Text: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 salvage value. The equipment is estimated to have a 10-year useful life and no salvage value. Update depreciation on assets disposed of at the time of sale or retirement entries. Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem. If no entry is required, select "No Entry" for the account titles and enter O for the amounts.) Date Account Titles and Explanation May 1 (To record depreciation) (To record sale of equipment) (To record depreciation) Debit Credit
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