At January 1, 2014, Jaina Company reported the following property, plant, and equipment accounts:…

At January 1, 2014, Jaina Company reported the following property, plant, and equipment accounts: Accumulated depreciation-buildings ……………………$12,100,000 Accumulated depreciation-equipment ………………….. 15,000,000 Buildings ………………………………………………….. 28,500,000 Equipment ………………………………………………… 48,000,000 Land ………………………………………………………. 4,000,000 Jaina uses straight-line depreciation for buildings and equipment, and its fiscal year end is December 31. The buildings are estimated to have a 50-year life and no residual value; the equipment is estimated to have a 10-year useful life and no residual value. Interest on all notes is payable or collectible at maturity on the anniversary date of the issue. During 2014, the following selected transactions occurred: Apr. 1 Purchased land for $1.9 million. Paid $475,000 cash and issued a 10-year, 6% note for the balance. May 1 Sold equipment that cost $750,000 when purchased on January 1, 2007. The equipment was sold for $350,000 cash. June 1 Sold land purchased on June 1, 1996, for $1.2 million. Received $380,000 cash and accepted a 6% note for the balance. The land cost $300,000. July 1 Purchased equipment for $1 million on account, terms n/60. Dec. 31 Retired equipment that cost $470,000 when purchased on December 31, 2004. Instructions (a) Record the above transactions. (b)

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