Oaktree Company purchased new equipment and made the following expenditures: Purchase price Sales tax $46,000 2,300 718 Freight charges for shipnent of equipnent Insurance on the equipnent for the first year Installation of equipment 910 1,100 The equipment, including sales tax, was purchased on open account, with payment due in 30 days. The other expenditures listed above were paid in cash. Required: Prepare the necessary journal entries to record the above expenditures. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet 2 Record the purchase of equipment. Note: Eriter debits before credits Transaction General Journal Debit Credit Journal entry worksheet cord any expenditures not capitalized in the purchase of equipment. Note Enter debits before credita Transaction General Journal Debit Credit 2.
Oaktree Company purchased new equipment and made the following expenditures: Purchase price Sales tax $46,000 2,300 718 Freight charges for shipnent of equipnent Insurance on the equipnent for the first year Installation of equipment 910 1,100 The equipment, including sales tax, was purchased on open account, with payment due in 30 days. The other expenditures listed above were paid in cash. Required: Prepare the necessary journal entries to record the above expenditures. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) Journal entry worksheet 2 Record the purchase of equipment. Note: Eriter debits before credits Transaction General Journal Debit Credit Journal entry worksheet cord any expenditures not capitalized in the purchase of equipment. Note Enter debits before credita Transaction General Journal Debit Credit 2.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question

Transcribed Image Text:nt
Oaktree Company purchased new equipment and made the following expenditures:
Purchase price
Sales tax
$46,000
2, 300
Freight charges for shipnent of equipnent
Insurance on the equipnent for the first year
Installation of equipment
71e
910
1,100
The equipment, including sales tax, was purchased on open account, with payment due in 30 days. The other expenditures
listed above were paid in cash.
Required:
Prepare the necessary journal entries to record the above expenditures. (If no entry is required for a transaction/event, select
"No journal entry required" in the first account field.)
Journal entry worksheet
>
Record the purchase of equipment.
Note: Enter debits before credits.
Transaction
General Journal
Debit
Credit
Journal entry worksheet
11
Record any expenditures not capitalized in the purchase of equipment.
Note Peter Oebits before credita
Transaction
General Journal
Debit
Credit
21
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