The following selected events occurred for Orwell Company during the first quarter of 2019: Jan. 11 A motor breaks on a machine and is replaced for $2,400. This replacement was expected when the machine was purchased. Feb. 15 A machine breaks down unexpectedly and requires repairs of $700. Mar. 10 An accident damages some equipment. Repairs cost $2,000. mar 19 A motor breaks on a machine and is replaced for $900. The new motor is of an improved design that increases the capacity of the machine.
The following selected events occurred for Orwell Company during the first quarter of 2019:
Jan. 11 A motor breaks on a machine and is replaced for $2,400. This replacement was expected when the machine was purchased.
Feb. 15 A machine breaks down unexpectedly and requires repairs of $700.
Mar. 10 An accident damages some equipment. Repairs cost $2,000.
mar 19 A motor breaks on a machine and is replaced for $900. The new motor is of an improved design that increases the capacity of the machine.
march 27 Office layout is rearranged at a cost of $700. At the same time, the walls are repainted for $500.
Required: 1. Prepare
2. Would any of your answers change if the company used IFRS? If so, how?
Journal entry is a primary entry that records the financial transactions initially.
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