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repare the general journal entries for the following transactions. 20-a Jan. 2 Purchased land with a building on it for $750,000. The land is worth $300,000. Paid $150,000 down and signed a mortgage to be paid over 20 years. Dec. 31 Depreciation is computed using the straight-line method. The building has an estimated salvage value of $75,000 and an estimated life of 20 years.20-b Jul. 1 The building and the land are sold for $825,000 cash. If an amount box does not require an entry, leave it blank. 20-aPage: 1   Date DESCRIPTION POST. REF. DEBIT CREDIT   1 Jan. 2 Land    fill in the blank c92348fb704700c_2 fill in the blank c92348fb704700c_3 1 2   Building    fill in the blank c92348fb704700c_5 fill in the blank c92348fb704700c_6 2 3   Cash    fill in the blank c92348fb704700c_8 fill in the blank c92348fb704700c_9 3 4   Mortgage Payable    fill in the blank c92348fb704700c_11 fill in the blank c92348fb704700c_12 4 5 Dec. 31 Depreciation Expense-Building    fill in the blank c92348fb704700c_14 fill in the blank c92348fb704700c_15 5 6   Accumulated Depreciation-Building    fill in the blank c92348fb704700c_17 fill in the blank c92348fb704700c_18 6 20-b Page: 1   Date DESCRIPTION POST. REF. DEBIT CREDIT   1 July 1     fill in the blank 1712020b0fbdfb9_2 fill in the blank 1712020b0fbdfb9_3 1 2       fill in the blank 1712020b0fbdfb9_5 fill in the blank 1712020b0fbdfb9_6 2 3 July 1     fill in the blank 1712020b0fbdfb9_8 fill in the blank 1712020b0fbdfb9_9 3 4       fill in the blank 1712020b0fbdfb9_11 fill in the blank 1712020b0fbdfb9_12 4 5       fill in the blank 1712020b0fbdfb9_14 fill in the blank 1712020b0fbdfb9_15 5 6       fill in the blank 1712020b0fbdfb9_17 fill in the blank 1712020b0fbdfb9_18 6 7       fill in the blank 1712020b0fbdfb9_20 fill in the blank 1712020b0fbdfb9_21 7

repare the general journal entries for the following transactions. 20-a Jan. 2 Purchased land with a building on it for $750,000. The land is worth $300,000. Paid $150,000 down and signed a mortgage to be paid over 20 years. Dec. 31 Depreciation is computed using the straight-line method. The building has an estimated salvage value of $75,000 and an estimated life of 20 years.20-b Jul. 1 The building and the land are sold for $825,000 cash. If an amount box does not require an entry, leave it blank. 20-aPage: 1   Date DESCRIPTION POST. REF. DEBIT CREDIT   1 Jan. 2 Land    fill in the blank c92348fb704700c_2 fill in the blank c92348fb704700c_3 1 2   Building    fill in the blank c92348fb704700c_5 fill in the blank c92348fb704700c_6 2 3   Cash    fill in the blank c92348fb704700c_8 fill in the blank c92348fb704700c_9 3 4   Mortgage Payable    fill in the blank c92348fb704700c_11 fill in the blank c92348fb704700c_12 4 5 Dec. 31 Depreciation Expense-Building    fill in the blank c92348fb704700c_14 fill in the blank c92348fb704700c_15 5 6   Accumulated Depreciation-Building    fill in the blank c92348fb704700c_17 fill in the blank c92348fb704700c_18 6 20-b Page: 1   Date DESCRIPTION POST. REF. DEBIT CREDIT   1 July 1     fill in the blank 1712020b0fbdfb9_2 fill in the blank 1712020b0fbdfb9_3 1 2       fill in the blank 1712020b0fbdfb9_5 fill in the blank 1712020b0fbdfb9_6 2 3 July 1     fill in the blank 1712020b0fbdfb9_8 fill in the blank 1712020b0fbdfb9_9 3 4       fill in the blank 1712020b0fbdfb9_11 fill in the blank 1712020b0fbdfb9_12 4 5       fill in the blank 1712020b0fbdfb9_14 fill in the blank 1712020b0fbdfb9_15 5 6       fill in the blank 1712020b0fbdfb9_17 fill in the blank 1712020b0fbdfb9_18 6 7       fill in the blank 1712020b0fbdfb9_20 fill in the blank 1712020b0fbdfb9_21 7

FINANCIAL ACCOUNTING
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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  1. Prepare the general journal entries for the following transactions.

    20-a
    Jan. 2 Purchased land with a building on it for $750,000. The land is worth $300,000. Paid $150,000 down and signed a mortgage to be paid over 20 years.
    Dec. 31 Depreciation is computed using the straight-line method. The building has an estimated salvage value of $75,000 and an estimated life of 20 years.
    20-b
    Jul. 1 The building and the land are sold for $825,000 cash.

    If an amount box does not require an entry, leave it blank.

    20-aPage: 1
      Date DESCRIPTION POST.
    REF.    		 DEBIT CREDIT  
    1 Jan. 2 Land    fill in the blank c92348fb704700c_2 fill in the blank c92348fb704700c_3 1
    2   Building    fill in the blank c92348fb704700c_5 fill in the blank c92348fb704700c_6 2
    3   Cash    fill in the blank c92348fb704700c_8 fill in the blank c92348fb704700c_9 3
    4   Mortgage Payable    fill in the blank c92348fb704700c_11 fill in the blank c92348fb704700c_12 4
    5 Dec. 31 Depreciation Expense-Building    fill in the blank c92348fb704700c_14 fill in the blank c92348fb704700c_15 5
    6   Accumulated Depreciation-Building    fill in the blank c92348fb704700c_17 fill in the blank c92348fb704700c_18 6

    20-b

    Page: 1
      Date DESCRIPTION POST.
    REF.    		 DEBIT CREDIT  
    1 July 1     fill in the blank 1712020b0fbdfb9_2 fill in the blank 1712020b0fbdfb9_3 1
    2       fill in the blank 1712020b0fbdfb9_5 fill in the blank 1712020b0fbdfb9_6 2
    3 July 1     fill in the blank 1712020b0fbdfb9_8 fill in the blank 1712020b0fbdfb9_9 3
    4       fill in the blank 1712020b0fbdfb9_11 fill in the blank 1712020b0fbdfb9_12 4
    5       fill in the blank 1712020b0fbdfb9_14 fill in the blank 1712020b0fbdfb9_15 5
    6       fill in the blank 1712020b0fbdfb9_17 fill in the blank 1712020b0fbdfb9_18 6
    7       fill in the blank 1712020b0fbdfb9_20 fill in the blank 1712020b0fbdfb9_21 7
 
20-a Page: 1 POST. Date DESCRIPTION DEBIT CREDIT REF. 1 Jan. 2 Land 1 2 Building 2 3 Cash 3 Mortgage Payable 4 4 5 Dec. 31 Depreciation Expense-Building 5 Accumulated Depreciation-Building 6. 20-b Page: 1 POST. Date DESCRIPTION DEBIT CREDIT REF. 1 July 1 1 2 2 3 July 1 3 4 4 6 7 7
Transcribed Image Text:20-a Page: 1 POST. Date DESCRIPTION DEBIT CREDIT REF. 1 Jan. 2 Land 1 2 Building 2 3 Cash 3 Mortgage Payable 4 4 5 Dec. 31 Depreciation Expense-Building 5 Accumulated Depreciation-Building 6. 20-b Page: 1 POST. Date DESCRIPTION DEBIT CREDIT REF. 1 July 1 1 2 2 3 July 1 3 4 4 6 7 7
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