On January 1 of this year, Diaz Boutique pays $170,000 to modernize its store. Improvements include new floors, ceilings, wiring, an wall coverings. These improvements are estimated to yield benefits for 8 years. Diaz leases (does not own) its store and has 5 year remaining on the lease. 1. & 2. Prepare the journal entry to record the cost of modernization and amortization at the end of this current year. View transaction list Journal entry worksheet 1 2 Record the cost of modernization of the store for $170,000 cash. Note: Enter debits before credits. Date January 01 General Journal Debit Credit

On January 1 of this year, Diaz Boutique pays $170,000 to modernize its store. Improvements include new floors, ceilings, wiring, an wall coverings. These improvements are estimated to yield benefits for 8 years. Diaz leases (does not own) its store and has 5 year remaining on the lease. 1. & 2. Prepare the journal entry to record the cost of modernization and amortization at the end of this current year. View transaction list Journal entry worksheet 1 2 Record the cost of modernization of the store for $170,000 cash. Note: Enter debits before credits. Date January 01 General Journal Debit Credit

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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