Oki Company pays $285,200 for equipment expected tolast four years and have a $30,000 salvage value. Preparejournal entries to record the following costs related to theequipment.1. Paid $20,000 cash for a new component that increasedthe equipment's productivity.2. Paid $5,000 cash for minor repairs necessary to keepthe equipment working well.3. Paid $12,950 cash for significant repairs to increase theuseful life of the equipment from four to seven years.View transaction listJournal entry worksheetA B CRecord the cost of minor repairs of $5,000 paid in cash to keep the equipmentworking well.Note: Enter debits before credits.TransactionGeneral JournalDebitCredit2Record entryClear entryView genera Oki Company pays $285,200 for equipment expected tolast four years and have a $30,000 salvage value. Preparejournal entries to record the following costs related to theequipment.1. Paid $20,000 cash for a new component that increasedthe equipment's productivity.2. Paid $5,000 cash for minor repairs necessary to keepthe equipment working well.3. Paid $12,950 cash for significant repairs to increase theuseful life of the equipment from four to seven years.View transaction listJournal entry worksheetв сARecord the betterment cost of $20,000 paid in cash.Note: Enter debits before credits.TransactionGeneral JournalDebitCredit1Record entryClear entryView genera

The minor expenses related to fixed assets are recorded as repairs and maintenance expenses. The…

Oki Company pays $285,200 for equipment expected to last four years and have a $30,000 salvage value. Prepare journal entries to record the following costs related to the equipment. 1. Paid $20,000 cash for a new component that increased the equipment's productivity. 2. Paid $5,000 cash for minor repairs necessary to keep the equipment working well. 3. Paid $12,950 cash for significant repairs to increase the useful life of the equipment from four to seven years. View transaction list

Oki Company pays $285,200 for equipment expected to last four years and have a $30,000 salvage value. Prepare journal entries to record the following costs related to the equipment. 1. Paid $20,000 cash for a new component that increased the equipment's productivity. 2. Paid $5,000 cash for minor repairs necessary to keep the equipment working well. 3. Paid $12,950 cash for significant repairs to increase the useful life of the equipment from four to seven years. View transaction list

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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