On July 15, 2024, Cottonwood Industries sold a patent and equipment to Roquemore Corporation for $810,000 and $355,000, respectively. On the date of the sale, the book value of the patent was $150,000, and the book value of the equipment was $436,000 (cost of $616,000 less accumulated depreciation of $180,000). Prepare the journal entries to record the sales of the patent and equipment. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
On July 15, 2024, Cottonwood Industries sold a patent and equipment to Roquemore Corporation for $810,000 and $355,000, respectively. On the date of the sale, the book value of the patent was $150,000, and the book value of the equipment was $436,000 (cost of $616,000 less accumulated depreciation of $180,000). Prepare the journal entries to record the sales of the patent and equipment. Note: If no entry is required for a transaction/event, select "No journal entry required" in the first account field.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
![On July 15, 2024, Cottonwood
Industries sold a patent and
equipment to Roquemore Corporation
for $810,000 and $355,000,
respectively. On the date of the sale,
the book value of the patent was
$150,000, and the book value of the
equipment was $436,000 (cost of
$616,000 less accumulated
depreciation of $180,000).
Prepare the journal entries to record
the sales of the patent and
equipment.
ote: If no entry is required for a
transaction/event, select "No journal
entry required" in the first account
field.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F68e23954-6a26-403a-9728-84b2d77c55d1%2F32b4eb3f-5254-4ab0-90fb-73498a886887%2Fdgrp3yk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:On July 15, 2024, Cottonwood
Industries sold a patent and
equipment to Roquemore Corporation
for $810,000 and $355,000,
respectively. On the date of the sale,
the book value of the patent was
$150,000, and the book value of the
equipment was $436,000 (cost of
$616,000 less accumulated
depreciation of $180,000).
Prepare the journal entries to record
the sales of the patent and
equipment.
ote: If no entry is required for a
transaction/event, select "No journal
entry required" in the first account
field.
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